Question: Which of the following is not a proper description of the pension Accumulated Benefit Obligation (ABO)? Multiple Choice If the pension plan was frozen the company would only have to pay the ABO. If excludes projected salary increases between the statement date and the employee's expected retirement date. The ABO may be used for balance sheet and income statement presentation under US GAAP. The difference between the ABO and PBO represents the losses workers would suffer if they leave the company prior to retirement.