Base assumptions when answering questions?

CFA Level III
#1

I am always struggling with the context of the practice questions. The question was about a defined benefit pension and the question was whether above or below average risk would be appropriate. The point I did not understand related to:

  • The discount rate applied to these liabilities is 6%.

The correct answer:
“The discount rate is already aggressive and should not be increased to lower the contribution.”

My overall answer was right, but not specific to the discount rate:
Without more data on e.g. the current YTMs on investment grade, long-term corporate bonds the discount rate cannot be evaluated. (those were not given in the question)

Do we have to know the current US?/dollar? rates and assume those are valid for such questions? Country/currency/year - nothing was given in the question.

#2

No.

Without some more information in the vignette itself, the answer is ridiculous.

#3

Thanks. Hope you are right. It is a shame one cannot recheck the grading of the exam.

I am just thinking too complex. What if this were a e.g. TRLY rate of return? Then 6% is not aggressive at all.

Another practice question also did take some information not given for granted. For example that interest from municipal bonds is tax exempt. If the question does not state the tax residence of the person at the time of interest payment I cannot answer such questions. For foreigners those bonds are not tax exempt in their home country.
Personally, if I do not know the right tax rate, I would be conservative and use the higher rate for retirement planning. —> wrong answer