Traditional Unit Credit normal cost for a DB plan

Computes the TUC normal cost as the APV of the current year's accrual.

Usage

NC_TUC_db(accrual_benefit, v_to_ret, p_surv, adue_ret)

Arguments

accrual_benefit

Benefit accrued in the current year.

v_to_ret

Discount factor to retirement.

p_surv

Active-service survival probability to retirement.

adue_ret

Retirement annuity factor.

Value

TUC normal cost.

Examples

NC_TUC_db(accrual_benefit = 1560, v_to_ret = 0.5, p_surv = 0.9, adue_ret = 12)
#> [1] 8424