A Inc. received the following information from its pension plan trustee concerning the operation of the company's defined-benefit pension plan for the year ended December 31, 2016. January 1, 2016 December 31, 2016 Fair value of pension plan assets P4,800,000 P5,160,000 Defined benefit obligation 4,200,000 4,500,000 Accumulated OCI–Net Gain / Loss -0- (90,000) The service cost component of pension expense for 2016 is P360,000 and the past service cost due to an increase in benefits is P60,000. The discount rate is 10%. What is the amount of pension expense for 2016?

A Inc. received the following information from its pension plan trustee concerning the operation of the company's defined-benefit pension plan for the year ended December 31, 2016. January 1, 2016 December 31, 2016 Fair value of pension plan assets P4,800,000 P5,160,000 Defined benefit obligation 4,200,000 4,500,000 Accumulated OCI–Net Gain / Loss -0- (90,000) The service cost component of pension expense for 2016 is P360,000 and the past service cost due to an increase in benefits is P60,000. The discount rate is 10%. What is the amount of pension expense for 2016?

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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