Homework Help is Here – Start Your Trial Now!
Business
Accounting
Beale Management has a noncontributory, defined benefit pension plan. On December 31, 2024 (the end of Beale's fiscal year), the following pension-related data were available: Projected Benefit obligation Balance, January 1, 2024 Service cost Interest cost, discount rate, 5% Gain due to changes in actuarial assumptions in 2024 Pension benefits paid Balance, December 31, 2024 Plan Assets Balance, January 1, 2024 Actual return on plan assets (Expected return on plan assets, $43) Cash contributions Pension benefits paid Balance, December 31, 2024 January 1, 2024, balances: Pension asset Prior service cost-AOCI (amortization $6 per year) Net gain-AOCI (any amortization over 10 years) ($ in millions) ($ in millions) $ 600 38 PBO 79 (28) $ 689 Plan Assets Required: Prepare a pension spreadsheet to show the relationship among the PBO, plan assets, prior service cost, the net gain, pension expense, and the net pension asset. ($ in millions) $ 560 58 28 (12) (28) Note: Enter credit amounts with a minus sign and debit amounts with a positive sign. Enter your answers in millions (l.e., 10,000,000 should be entered as 10). Prior Service Cost-AOCI $ 606 ($ in millions) $ 40 30 110 Net Gain- AOCI Pension Expense Cash Net Pension (Liability) / Asset

Beale Management has a noncontributory, defined benefit pension plan. On December 31, 2024 (the end of Beale's fiscal year), the following pension-related data were available: Projected Benefit obligation Balance, January 1, 2024 Service cost Interest cost, discount rate, 5% Gain due to changes in actuarial assumptions in 2024 Pension benefits paid Balance, December 31, 2024 Plan Assets Balance, January 1, 2024 Actual return on plan assets (Expected return on plan assets, $43) Cash contributions Pension benefits paid Balance, December 31, 2024 January 1, 2024, balances: Pension asset Prior service cost-AOCI (amortization $6 per year) Net gain-AOCI (any amortization over 10 years) ($ in millions) ($ in millions) $ 600 38 PBO 79 (28) $ 689 Plan Assets Required: Prepare a pension spreadsheet to show the relationship among the PBO, plan assets, prior service cost, the net gain, pension expense, and the net pension asset. ($ in millions) $ 560 58 28 (12) (28) Note: Enter credit amounts with a minus sign and debit amounts with a positive sign. Enter your answers in millions (l.e., 10,000,000 should be entered as 10). Prior Service Cost-AOCI $ 606 ($ in millions) $ 40 30 110 Net Gain- AOCI Pension Expense Cash Net Pension (Liability) / Asset

FINANCIAL ACCOUNTING
FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
See similar textbooks
icon
Related questions
Question
Beale Management has a noncontributory, defined benefit pension plan. On December 31, 2024 (the end of Beale's fiscal year), the following pension-related data were available: Projected Benefit obligation Balance, January 1, 2024 Service cost Interest cost, discount rate, 5% Gain due to changes in actuarial assumptions in 2024 Pension benefits paid Balance, December 31, 2024 Plan Assets Balance, January 1, 2024 Actual return on plan assets (Expected return on plan assets, $43) Cash contributions Pension benefits paid Balance, December 31, 2024 January 1, 2024, balances: Pension asset Prior service cost-AOCI (amortization $6 per year) Net gain-AOCI (any amortization over 10 years) ($ in millions) Balance, January 1, 2024 Service cost Interest cost, 5% Expected return on assets Adjust for: Loss on assets Amortization of: Prior service cost Net gain Gain on PBO Cash funding Retiree benefits Balance, December 31, 2024 Required: Prepare a pension spreadsheet to show the relationship among the PBO, plan assets, prior service cost, the net gain, pension expense, and the net pension asset. Note: Enter credit amounts with a minus sign and debit amounts with a positive sign. Enter your answers in millions (l.e., 10,000,000 should be entered as 10). $ PBO ($ in millions) $ 600 38 0 $ 79 (28) $ 689 Prior Plan Service Assets Cost-AOCI 0 $ ($ in millions) $ 560 58 0 S 28 (12) (28) $ 606 ($ in millions) $ 40 30 110 Net Gain- AOCI Pension Expense Cash 0 $ 0 Net Pension (Liability) / Asset $ 0
Transcribed Image Text:Beale Management has a noncontributory, defined benefit pension plan. On December 31, 2024 (the end of Beale's fiscal year), the following pension-related data were available: Projected Benefit obligation Balance, January 1, 2024 Service cost Interest cost, discount rate, 5% Gain due to changes in actuarial assumptions in 2024 Pension benefits paid Balance, December 31, 2024 Plan Assets Balance, January 1, 2024 Actual return on plan assets (Expected return on plan assets, $43) Cash contributions Pension benefits paid Balance, December 31, 2024 January 1, 2024, balances: Pension asset Prior service cost-AOCI (amortization $6 per year) Net gain-AOCI (any amortization over 10 years) ($ in millions) Balance, January 1, 2024 Service cost Interest cost, 5% Expected return on assets Adjust for: Loss on assets Amortization of: Prior service cost Net gain Gain on PBO Cash funding Retiree benefits Balance, December 31, 2024 Required: Prepare a pension spreadsheet to show the relationship among the PBO, plan assets, prior service cost, the net gain, pension expense, and the net pension asset. Note: Enter credit amounts with a minus sign and debit amounts with a positive sign. Enter your answers in millions (l.e., 10,000,000 should be entered as 10). $ PBO ($ in millions) $ 600 38 0 $ 79 (28) $ 689 Prior Plan Service Assets Cost-AOCI 0 $ ($ in millions) $ 560 58 0 S 28 (12) (28) $ 606 ($ in millions) $ 40 30 110 Net Gain- AOCI Pension Expense Cash 0 $ 0 Net Pension (Liability) / Asset $ 0
Expert Solution
trending now

Trending now

This is a popular solution!

steps

Step by step

Solved in 3 steps

SEE SOLUTIONCheck out a sample Q&A here
Blurred answer
Knowledge Booster
Accounting for Employee Compensations and Benefits
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.
Similar questions
  • SEE MORE QUESTIONS
Recommended textbooks for you
FINANCIAL ACCOUNTING
FINANCIAL ACCOUNTING
Accounting
ISBN:
9781259964947
Author:
Libby
Publisher:
MCG
Accounting
Accounting
Accounting
ISBN:
9781337272094
Author:
WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.
Publisher:
Cengage Learning,
Accounting Information Systems
Accounting Information Systems
Accounting
ISBN:
9781337619202
Author:
Hall, James A.
Publisher:
Cengage Learning,
Horngren's Cost Accounting: A Managerial Emphasis…
Horngren's Cost Accounting: A Managerial Emphasis…
Accounting
ISBN:
9780134475585
Author:
Srikant M. Datar, Madhav V. Rajan
Publisher:
PEARSON
Intermediate Accounting
Intermediate Accounting
Accounting
ISBN:
9781259722660
Author:
J. David Spiceland, Mark W. Nelson, Wayne M Thomas
Publisher:
McGraw-Hill Education
Financial and Managerial Accounting
Financial and Managerial Accounting
Accounting
ISBN:
9781259726705
Author:
John J Wild, Ken W. Shaw, Barbara Chiappetta Fundamental Accounting Principles
Publisher:
McGraw-Hill Education
SEE MORE TEXTBOOKS