ABC Company operates a defined benefit plan and recognizes actuarial gains and losses in profit or loss under the corridor approach. At January 1, 2020, the plan assets were P8,000,000, the defined benefit obligation was P9,000,000 and the unrecognized actuarial losses were P1,200,000. During the year ended December 31, 2020, actuarial gains of P150,000 arose. The average remaining working period of participating employees was 20 years at both January 1 and December 31, 2020. What is the amount of cumulative unrecognized actuarial losses on December 31, 2020? (Round answer to whole number)

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A: Defined benefit pension plans are the retirement designs that include providing a fixed and…

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A: Interest costs = Projected benefit obligation x Discount rate = ₱7,600,000 x 10% = ₱760,000

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A: Interest costs = Projected benefit obligation x Discount rate = ₱7,600,000 x 10% = ₱760,000

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A: Interest cost = Beginning Defined benefit obligation x Interest rate = 11,000,000 x 10% = 1,100,000

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A: Interest costs = Benefit Obligation, December 31, 2020, x discount rate = P12,000,000 x 12% =…

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A: A defined benefit plan is a type of pension plan in which an employer promises to provide specified…

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A: Interest costs = Projected benefit obligation x Discount rate = ₱7,600,000 x 10% = ₱760,000 Expected…

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A: Corridor rule says that losses or gains which  exceed 10 % of Higher of Pension benefit obligation…

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A: Actual return on plan assets = Beginning Fair value of plan assets x actual return rate =…

Q: At the beginning of the current year, the memorandum records of A Company’s defined benefit plan…

A: Actual return on plan assets = Beginning Fair value of plan assets x actual return rate =…

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A: "Since you have posted a question with multiple sub-parts, we will solve the first three sub-parts…

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A: Employee benefits expense are those expenses which involve the short term employee benefits like…

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A: Other comprehensive income (OCI) is a term used in corporate accounting to describe revenues, costs,…

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A: “Since you have posted multiple questions, we will provide the solution only to the first question…

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A: Interest = Beginning  Defined benefit obligation x Discount rate = P7,500,000 x 10% = P750,000

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A: Project benefit Obligation-A projected benefit obligation (PBO) is an actuarial measurement of what…

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A: Solution:- calculation of the Minimum amortization of the actuarial loss as follows under:-

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A: Defined benefit plans are those plans which are made by the empployer for providing benefits or to…

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A: The solution for the above question is given in the following steps for your reference.

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A: Employee benefits refer to all forms of compensation (cash/non-cash) paid by an employer to employee…

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A: Employee Benefits: It is the all type of compensation (cash/non-cash) paid  to an employee by an…

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A: Interest costs = Benefit Obligation, December 31, 2020, x discount rate = P12,000,000 x 12% =…

Q: Charlton Company provided the following information concerning a defined benefit plan at the…

A: Fair Value Plan Asset (FVPA) as of December 31=Fair value of plan assets+Projected benefit…

Q: At the beginning of the current year, the memorandum records of Anne Company’s defined benefit plan…

A: solution : given : beginning of the year benefit obligation               =P11,000,000 current…

Q: Information on Complicated Company's defined benefit plan is as follows: Fair value of plan assets,…

A: Given that, On January 1, Opening Fair value of plan assets = P480000 Return on plan assets (Actual…

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A: Prepaid/accrued benefit cost is the cost which to claim a recurring benefit to be allowed before the…

Q: At the beginning of the current year, the memorandum records of Anne Company's defined benefit plan…

A: Actual return on plan assets = Beginning Fair value of plan assets x actual return rate =…

Employee Benefits

In an organization employees are the most important resource and most important asset. They can lead an organization to the sky or can be the reason for unsuccessful of business. Therefore, it is very much important that employees of an organization should be satisfied by the environment of the organization and most importantly with the salary, wages incentives, etc.