Final answer:
The discount rate used for measuring the present value of the postretirement benefit obligation and the service cost component is not the same as that applied to the pension measurements.
Step-by-step explanation:
The statement is false. The discount rate used for measuring the present value of the postretirement benefit obligation and the service cost component is not the same as that applied to the pension measurements.
The discount rate used for measuring the postretirement benefit obligation is based on the rate of return on high-quality, fixed-income investments at the measurement date, such as long-term government bonds. This rate reflects the estimated yield and the expected average duration of the investments.
On the other hand, the discount rate used for measuring the pension liability is determined by considering various factors like the expected long-term rate of return on plan assets, the discount rate on high-quality corporate bonds, and other relevant economic factors specific to the plan