What should be recognized on the face of the financial statements according to the GASB standard?

The net OPEB liability is the correct answer because it directly aligns with the Governmental Accounting Standards Board (GASB) standards regarding the recognition of other post-employment benefits (OPEB) in financial statements. According to GASB Statement No. 75, which addresses accounting and financial reporting for OPEB, entities are required to recognize the net OPEB liability as a measurable and present obligation for which they are responsible.

The net OPEB liability represents the difference between the total OPEB liability, which refers to the actuarial estimate of the benefits owed, and the amount of OPEB plan assets available to fund those obligations. Recognizing this liability on the financial statements provides a clearer picture of an organization's long-term financial commitments related to post-employment benefits, thereby enhancing transparency and accountability.

In contrast, while the total OPEB expense is important for understanding the costs incurred during a reporting period, it does not reflect the ongoing liabilities associated with OPEB. Similarly, unfunded accrued liabilities are of significance but are not necessarily presented directly on the financial statements as net liabilities. Finally, the OPEB benefits paid represent cash flows rather than the obligations that need to be reported, thus not fitting into the recognition