UEPR and U&IE part 1a
Hello, I am very confused on if we should be including earned but unbilled and Reserve for Experience Based Rate Credits and Retro Adjustments. The flash cards you referenced say that we should include them;however, the fictitious example in the source adds then and then immediately subtracts them. The company I work at does not fully subtract these amounts off. Lastly there was an old exam problem I did a few weeks ago (I can't remember which one) that had you calculated UEPR and they said it was wrong to include these amounts. Do you know what is actually the proper way to calculate UEPR from this exhibit?
Comments
Where do you find UEPR calculation in the Odomirok.18-IEE wiki please? So that I can compare to the fictitious example in the source.
Could you tell me the table number for the fictitious example where Odomirok makes this calculation?
I don't see a UEP calculation there. Could you give me the page number?
My source has only 502 pages.
https://casact.org/sites/default/files/2021-03/6U_CAS_Financial_Reporting.pdf
In UIE Part 1a (my page 436), EBUB and rate credit are added, and UEP is left at that. Where do you see them "getting subtracted immediately afterwards?"
I see that UEP gross of EBUB and rate credit (row 38) is used for Balance Sheet UEP liability item, and UEP net of EBUB and rate credit (row 35) is used for IEE surplus allocation calculations.