Why the benefit of future salary is derived in this question? Since derviation is not asked in question. Is it just because of sake of 8 marks ?? Can some please clarify if there is any other reason for the same ??
That's correct Deepak. But if you see the contribution percentage so we can use direct formula for the same .. So why derivation required here for contribution part
If you see the past papers, the marks allocated for calculations are 5 or 6. Examiners reports used straight formula to calculate values. Derivation required here. You can not use straight formula, as Pensionable salary defined as " average annual salary in the last 2 years before retirement." And not salary prior valuation. Am pasting Q.8 from 2005'Apr where examiner asked to derive, but solution doesn't.
