Balances or Values at December 31, 2020 Projected benefit obligation $2,761,900 Accumulated benefit obligation 1,970,300 Fair value of plan assets 2,283,700 Accumulated OCI (PSC) 207,900 Accumulated OCI—Net loss (1/1/20 balance, 0) 45,600 Pension liability 478,200 Other pension plan data for 2020:
Balances or Values at December 31, 2020 Projected benefit obligation $2,761,900 Accumulated benefit obligation 1,970,300 Fair value of plan assets 2,283,700 Accumulated OCI (PSC) 207,900 Accumulated OCI—Net loss (1/1/20 balance, 0) 45,600 Pension liability 478,200 Other pension plan data for 2020:
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Question
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Buffalo Enterprises provides the following information relative to its defined benefit pension plan.
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Balances or Values at December 31, 2020
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| Projected benefit obligation | $2,761,900 | |
| Accumulated benefit obligation | 1,970,300 | |
| Fair value of plan assets | 2,283,700 | |
| Accumulated OCI (PSC) | 207,900 | |
| Accumulated OCI—Net loss (1/1/20 balance, 0) | 45,600 | |
| Pension liability | 478,200 | |
| Other pension plan data for 2020: | ||
| Service cost | $94,400 | |
| Prior service cost amortization | 42,000 | |
| Actual return on plan assets | 128,900 | |
| Expected return on plan assets | 174,500 | |
| Interest on January 1, 2020, projected benefit obligation | 251,500 | |
| Contributions to plan | 94,200 | |
| Benefits paid | 141,200 |
(a)
Prepare the note disclosing the components of pension expense for the year 2020. (Enter amounts that reduce pension expense with either a negative sign preceding the number e.g. -45 or parenthesis e.g. (45).)
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Components of Pension Expense
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$
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$
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