PART I: For each position statement below:

(a) Indicate whether the statement is TRUE OR FALSE, and

(b) Whether TRUE or FALSE provide at least three (3) considerations (explanations) for your determination of T/F

1.  In determining diluted EPS, convertible preferred stock is always dilutive.

2. Due to the risk associated with company bankruptcies, most employees favor defined contribution plans.

3. The FASB's rationale for requiring immediate expensing of prior service costs at the date of amendment or initiation of a defined benefit plan is the employer has no guarantee that it will receive future benefits.