k1cesStanley-Morgan Industries adopted a defined benefit pension plan on April 12, 2021. The provisions of the plan were not maderetroactive to prior years. A local bank, engaged as trustee for the plan assets, expects plan assets to earn a 10% rate of return. Theactual return was also 10% in 2021 and 2022. A consulting firm, engaged as actuary, recommends 5% as the appropriate discountrate. The service cost is $180,000 for 2021 and $230,000 for 2022. Year-end funding is $190,000 for 2021 and $200,000 for 2022. Noassumptions or estimates were revised during 2021."We assume the estimated return was based on the actual return on similar investments at the inception of the plan and that, since theestimate didn't change, that also was the actual rate in 2022Required:Calculate each of the following amounts as of both December 31, 2021, and December 31, 2022 (Enter your answers in thousands(.e., 200,000 should be entered as 200).)1. Projected benefit obligation2. Plan assets3. Pension expense4. Net pension asset or net pension liabilityDecember 31,2021December 31,2022

Project Benefit Obligation : Project Benefit Obligation (PBO) is a financial term that refers to the…

Calculate each of the following amounts as of both December 31, 2021, and December 31, 2022 (Enter your answers in thousands (.e., 200,000 should be entered as 200).) 1. Projected benefit obligation 2. Plan assets 3. Pension expense 4 Net pension asset or net pension liability December 31, 2021 December 31, 2022

Calculate each of the following amounts as of both December 31, 2021, and December 31, 2022 (Enter your answers in thousands (.e., 200,000 should be entered as 200).) 1. Projected benefit obligation 2. Plan assets 3. Pension expense 4 Net pension asset or net pension liability December 31, 2021 December 31, 2022

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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Items Balance, Jan. 1, 2025 (a) Service Cost (b) Interest Cost (c) Actual Return (d) Contributions (e) Benefits Journal Entry for 2025 Balance, Dec. 31, 2025 The service cost for 2025 is O $115000. O $6000. O $37000. O $38000. Annual Pension Expense ?? dr 15000 dr General Journal Entries 16000 cr $37000 Pharoah Corporation Pension Worksheet Cash $37000 cr ?? Show Transcribed Text Pension Asset/ Liability ?? Memo Record Projected Benefit Obligation $115000 cr $115000 dr ?? Plan Assets ??
Please provide proper tables for each requirement. For the spreadhseet as well as the journal entries so it is easy to understand. Tables with titles and calculations and accounts etc.
Actuary and trustee reports indicate the following changes in the PBO and plan assets of Lakeside Cable during 2024: Prior service cost at January 1, 2024, from plan amendment at the beginning of 2022 (amortization: $4 million per year) Net loss-pensions at January 1, 2024 (previous losses exceeded previous gains) Average remaining service life of the active employee group Actuary's discount rate ($ in millions) Beginning of 2024 Service cost Interest cost, 8% Loss (gain) on PBO Less: Retiree benefits End of 2024 Beginning of 2025 Service cost PBO $ 300 48 Interest cost, 8% Loss (gain) on PBO Less: Retiree benefits End of 2025 24 (2) (20) $ 350 PBO $ 350 38 28 5 Assume the following actuary and trustee reports indicating changes in the PBO and plan assets of Lakeside Cable during 2025: ($ in millions) (16) Beginning of 2024 Return on plan assets, 7.5% (10% expected) $ 405 Cash contributions Less: Retiree benefits End of 2024 Beginning of 2025 Return on plan assets, 15% (10% expected) $…
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Sunland Toothpaste Company initiates a defined benefit pension plan for its 50 employees on January 1, 2020. The insurance company which administers the pension plan provided the following selected information for the years 2020, 2021, and 2022. For Year Ended December 31, 2020 2021 2022 Plan assets (fair value) $50,000 $85,000 $180,200 Accumulated benefit obligation 44,700 165,300 289,100 Projected benefit obligation 60,000 200,400 326,100 Net (gain) loss (for purposes of corridor calculation) 78,800 83,971 Employer's funding contribution (made at end of year) 50,000 60,000 105,100 There were no balances as of January 1, 2020, when the plan was initiated. The actual and expected return on plan assets was 10% over the 3-year period, but the settlement rate used to discount the company's pension obligation was 13% in 2020, 11% in 2021, and 8% in 2022. The service cost component of net periodic pension expense amounted to the following: 2020, $60,000; 2021, $85,000; and 2022, $118,000.…
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