2016 2017 2018 Annual service cost $16,000 $ 19,000 $ 26,000 Settlement rate and expected rate of return Actual return on plan assets Annual funding (contributions) Benefits paid Prior service cost (plan amended, 1/1/17) Amortization of prior service cost Change in actuarial assumptions establishes a December 31, 2018, projected benefit obligation of: 10% 10% 10% 18,000 16,000 14,000 22,000 40,000 16,400 24,000 48,000 21,000 160,000 54,400 41,600 520,000
(3-Year Worksheet,
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Instructions
(a) Prepare a pension worksheet presenting all 3 years’ pension balances and activities.
(b) Prepare the journal entries (from the worksheet) to reflect all pension plan transactions and events at December 31 of each year.
(c) Indicate the pension-related amounts reported in the financial statements for 2018.
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