6. Net Benefit Expense for 20x6 7. Net Benefit Expense for 20x7 8. The Gain/(Loss) attributable to the FVPA for 20x8.

FINANCIAL ACCOUNTING
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Author:Libby
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Chapter1: Financial Statements And Business Decisions
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6. Net Benefit Expense for 20x6
7. Net Benefit Expense for 20x7
8. The Gain/(Loss) attributable to the FVPA for 20x8.
9. The Gain/(Loss) attributable to the Defined Benefit Obligation for 20x9.
10. The Debit/(Credit) to Other Comprehensive Income for 20x9.
Transcribed Image Text:6. Net Benefit Expense for 20x6 7. Net Benefit Expense for 20x7 8. The Gain/(Loss) attributable to the FVPA for 20x8. 9. The Gain/(Loss) attributable to the Defined Benefit Obligation for 20x9. 10. The Debit/(Credit) to Other Comprehensive Income for 20x9.
The following information is given about a funded defined benefit plan of ROYCE Company
On January, 20x6, Royce Company initiated a pension plan for its employees. The company's
actuary estimates that the present value of the retroactive benefits related to this pension plan
amounts to Php 400,000. The remaining service life of the covered active employees is 10 years.
Relevant data for 20x6 to 20x9 are as follows
20x6
20x7
20x8
20x9
Current service cost
68,000
100,000
200,000
210,000
Expected settlement rate
8%
10%
12%
5%
Funding made at December 31
150,000
165,000
146,000
300,000
Expected rate of return
10%
14%
10%
Actual return on plant assets (PA)
15,000
Market value of PA at December 31
330,000
500,000
825,000
Actuarial DBO at December 31
650,000
1,000,000
1,200,000
Benefits paid to employees during 20x9 amounts to 100,000
Note: DBO = Defined Benefit Obligation
Transcribed Image Text:The following information is given about a funded defined benefit plan of ROYCE Company On January, 20x6, Royce Company initiated a pension plan for its employees. The company's actuary estimates that the present value of the retroactive benefits related to this pension plan amounts to Php 400,000. The remaining service life of the covered active employees is 10 years. Relevant data for 20x6 to 20x9 are as follows 20x6 20x7 20x8 20x9 Current service cost 68,000 100,000 200,000 210,000 Expected settlement rate 8% 10% 12% 5% Funding made at December 31 150,000 165,000 146,000 300,000 Expected rate of return 10% 14% 10% Actual return on plant assets (PA) 15,000 Market value of PA at December 31 330,000 500,000 825,000 Actuarial DBO at December 31 650,000 1,000,000 1,200,000 Benefits paid to employees during 20x9 amounts to 100,000 Note: DBO = Defined Benefit Obligation
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