MS AR 2018 (1)

Rupees 2018 2017
23.2.2 Changes in present value of defined benefit obligation:
Opening value of obligation 107,115,415 81,675,140
Current service cost 28,011,123 19,844,479
Interest cost 7,421,258 5,245,380
Remeasurements of obligation:
- Actuarial loss from changes in financial assumptions 494,747 142,177
- Experience adjustments 13,618,878 5,712,348
Defined benefits paid (5,885,829) (5,504,109)
Present value of defined benefit obligation as June 30, 150,775,592 107,115,415
23.2.3 Expense charged to statement of profit or loss:
Current service cost 28,011,123 19,844,479
Interest cost 7,421,258 5,245,380
35,432,381 25,089,859
The expense charged to statement of profit or loss includes Rs. 5.873 million (2017: Rs. 4.675 million) in respect
of key management personnel.
Rupees 2018 2017
23.2.4 Remeasurements charged to other comprehensive income:
Actuarial loss from changes in financial assumptions 494,747 142,177
Experience adjustments 13,618,878 5,712,348
14,113,625 5,854,525
23.2.5 Function-wise breakup of expense charged to
statement of profit or loss:
Cost of sales 18,478,687 13,302,501
Sales and marketing expenses 627,266 1,037,659
Administrative expenses 16,326,428 10,749,699
35,432,381 25,089,859
23.2.6 Key actuarial assumptions used:
Discount rate used for interest cost % 7.75% 7.25%
Discount rate used for obligation % 9.00% 7.75%
Future salary increased % 8.00% 6.75%
Next salary increase 01-Jul-18 01-Jul-17
Pre-retirement mortality SLIC 2001-2005
Set back 1 year
Withdrawal rates
Age based
Retirement assumption Age 60
Actuarial valuation method used
Projected unit credit
(PUC) actuarial cost method
Figures in this note are based on the latest actuarial valuation carried out as at June 30, 2018.
Annual Report 2018
115