A pension scheme provides retirement benefits to a group of 200 pensioners currently aged 65 exact. The scheme pays an annual income of £19,000 annually in arrears if the pensioner is alive. A lump sum of £50,000 is paid at the end of the year of death. During the first year 3 members died. (i) (ii) Basis: Calculate, showing all working, the mortality profit or loss for the year. Explain why the mortality profit or loss has arisen. Mortality: Interest: AM92 Ultimate 6% p.a. effective

A pension scheme provides retirement benefits to a group of 200 pensioners currently aged 65 exact. The scheme pays an annual income of £19,000 annually in arrears if the pensioner is alive. A lump sum of £50,000 is paid at the end of the year of death. During the first year 3 members died. (i) (ii) Basis: Calculate, showing all working, the mortality profit or loss for the year. Explain why the mortality profit or loss has arisen. Mortality: Interest: AM92 Ultimate 6% p.a. effective

Essentials Of Investments

11th Edition

ISBN:9781260013924

Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.

Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.

Chapter1: Investments: Background And Issues

Section: Chapter Questions

Problem 1PS

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Sachs Brands defined benefit pension plan specifies annual retirement benefits equal to: 1.6% × service years× final year’s salary, payable at the end of each year. Angela Davenport was hired by Sachs at the beginningof 2004 and is expected to retire at the end of 2038 after 35 years’ service. Her retirement is expected to span18 years. Davenport’s salary is $90,000 at the end of 2018 and the company’s actuary projects her salary to be$240,000 at retirement. The actuary’s discount rate is 7%.Required:1. Draw a time line that depicts Davenport’s expected service period, retirement period, and a 2018 measurement date for the pension obligation.2. Estimate by the projected benefits approach the amount of Davenport’s annual retirement payments earned asof the end of 2018.3. What is the company’s projected benefit obligation at the end of 2018 with respect to Davenport?4. If no estimates are changed in the meantime, what will be the company’s projected benefit obligation at theend of 2021…
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Sachs Brands’ defined benefit pension plan specifies annual retirement benefits equal to: 1.6% * serviceyears * final year’s salary, payable at the end of each year. Angela Davenport was hired by Sachs at the beginningof 2002 and is expected to retire at the end of 2036 after 35 years’ service. Her retirement is expected tospan 18 years. Davenport’s salary is $90,000 at the end of 2016 and the company’s actuary projects her salary tobe $240,000 at retirement. The actuary’s discount rate is 7%.Required:1. Draw a time line that depicts Davenport’s expected service period, retirement period, and a 2016 measurementdate for the pension obligation.2. Estimate by the accumulated benefits approach the amount of Davenport’s annual retirement payments earnedas of the end of 2016.3. What is the company’s accumulated benefit obligation at the end of 2016 with respect to Davenport?4. If no estimates are changed in the meantime, what will be the accumulated benefit obligation at the end of2019…
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Martin Services Company provides its employees vacation benefits and a defined contribution pension plan. Employees earned vacation pay of $43,000 for the period. The pension plan requires a contribution to the plan administrator equal to 6% of employee salaries. Salaries were $600,000 during the period. a. Provide the journal entry for the vacation pay. If an amount box does not require an entry, leave blank. b. Provide the journal entry for the pension benefit. If an amount box does not require an entry, leave it blank.
Please Correct answer With Explanation do not give solution in images format
How much is the annual retirement benefit expense for the year ended December 31, 2021? a. ₱ 312,902 b. ₱ 1,390,675 c. ₱ 104,301 d. ₱ 417,203
A postretirement plan promises health care coverage for all employees who retire after age 62 and complete service of 15 years. As of january 1, 2020, one 50- year old participant has rendered services for 8 years, and is expected to retire at age 65. The following amounts pertain to the participants benefits. Present value of postretirement benefit cash flow stream ut the date of retirement s30.000 Present value of postretirement cash flow stream an jan. 1, 2020 $4.000 What is the value of the accumulated postretirement benefit obligation (APBO) on January 1, 20207 Select one a. $2,133 b. $1.391 C.$1,600 d. $12.000

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