394. The cash balance method, the flat rate method and the money purchase method.

The cash balance method of revaluing a cash balance benefit1 is to revalue the available sum in respect of the benefit in any way in which it would have been revalued if the member's pensionable service2 had not terminated3.

The flat rate method is to revalue the benefits which have accrued to the member as respects the pre-pension period4 in any way in which they would have been revalued during that period if he had remained in the same pensionable service5. Subject to the following provisions, the money purchase method is to apply the investment yield and any bonuses arising