fair value (market-related value) efit obligation assets
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
Related questions
Question
Please help me to solve this problem
![Description
(000s omitted)
Beginning plan assets at fair value (market-related value)
$
11,800
Beginning projected benefit obligation
13,600
Service cost
1,800
Settlement rate
8%
Expected return on plan assets
3%
Actual return on plan assets
564
Contributions for the year
1,100
Benefits paid during the year
700
Amortization of prior service cost
650
Beginning balance of
Unamortized prior service cost
2,610
Unamortized net actuarial gains
3,560
Average remaining service life of employees
5 years](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2Ff63054a3-7d6f-47be-bf34-daf458a9b680%2Ffaab8379-4820-464e-9bc0-8980efee5ddc%2Fdvtj6g_processed.png&w=3840&q=75)
Transcribed Image Text:Description
(000s omitted)
Beginning plan assets at fair value (market-related value)
$
11,800
Beginning projected benefit obligation
13,600
Service cost
1,800
Settlement rate
8%
Expected return on plan assets
3%
Actual return on plan assets
564
Contributions for the year
1,100
Benefits paid during the year
700
Amortization of prior service cost
650
Beginning balance of
Unamortized prior service cost
2,610
Unamortized net actuarial gains
3,560
Average remaining service life of employees
5 years
![The ending funded status of the plan is a
The beginning funded status of the plan is a
Requirement c. Reconcile the ending balance in accumulated other comprehensive income and indicate the amounts attributable to unamortized prior service cost and unamortized net
actuarial gains/losses.
Select the labels and enter the amounts to determine the balance in the accumulated other comprehensive income (AOCI) account at the end of the year. (Use parentheses or a minus
sign for credit balances. If an input field is not used in the table leave the field empty; do not enter a zero.)
Unamortized Prior Unamortized Net
Total
(in thousands)
Service Cost
Actuarial Gain
AOCI
Beginning Balances
Ending Balances
Requirement d. Prepare the journal entry to record the current year's pension cost. (Abbreviation used: OCI = Other Comprehensive Income. Enter currency amounts in thousands.
Record any gains or losses as one entry; that is, combine the amounts and enter the "net" value. Record debits first, then credits. Exclude explanations from any journal entries.)
Account
Current Year](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2Ff63054a3-7d6f-47be-bf34-daf458a9b680%2Ffaab8379-4820-464e-9bc0-8980efee5ddc%2Fho1pgo_processed.jpeg&w=3840&q=75)
Transcribed Image Text:The ending funded status of the plan is a
The beginning funded status of the plan is a
Requirement c. Reconcile the ending balance in accumulated other comprehensive income and indicate the amounts attributable to unamortized prior service cost and unamortized net
actuarial gains/losses.
Select the labels and enter the amounts to determine the balance in the accumulated other comprehensive income (AOCI) account at the end of the year. (Use parentheses or a minus
sign for credit balances. If an input field is not used in the table leave the field empty; do not enter a zero.)
Unamortized Prior Unamortized Net
Total
(in thousands)
Service Cost
Actuarial Gain
AOCI
Beginning Balances
Ending Balances
Requirement d. Prepare the journal entry to record the current year's pension cost. (Abbreviation used: OCI = Other Comprehensive Income. Enter currency amounts in thousands.
Record any gains or losses as one entry; that is, combine the amounts and enter the "net" value. Record debits first, then credits. Exclude explanations from any journal entries.)
Account
Current Year
Expert Solution
![](/static/compass_v2/shared-icons/check-mark.png)
This question has been solved!
Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.
Step by step
Solved in 2 steps
![Blurred answer](/static/compass_v2/solution-images/blurred-answer.jpg)
Knowledge Booster
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.Recommended textbooks for you
![FINANCIAL ACCOUNTING](https://compass-isbn-assets.s3.amazonaws.com/isbn_cover_images/9781259964947/9781259964947_smallCoverImage.jpg)
![Accounting](https://www.bartleby.com/isbn_cover_images/9781337272094/9781337272094_smallCoverImage.gif)
Accounting
Accounting
ISBN:
9781337272094
Author:
WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.
Publisher:
Cengage Learning,
![Accounting Information Systems](https://www.bartleby.com/isbn_cover_images/9781337619202/9781337619202_smallCoverImage.gif)
Accounting Information Systems
Accounting
ISBN:
9781337619202
Author:
Hall, James A.
Publisher:
Cengage Learning,
![FINANCIAL ACCOUNTING](https://compass-isbn-assets.s3.amazonaws.com/isbn_cover_images/9781259964947/9781259964947_smallCoverImage.jpg)
![Accounting](https://www.bartleby.com/isbn_cover_images/9781337272094/9781337272094_smallCoverImage.gif)
Accounting
Accounting
ISBN:
9781337272094
Author:
WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.
Publisher:
Cengage Learning,
![Accounting Information Systems](https://www.bartleby.com/isbn_cover_images/9781337619202/9781337619202_smallCoverImage.gif)
Accounting Information Systems
Accounting
ISBN:
9781337619202
Author:
Hall, James A.
Publisher:
Cengage Learning,
![Horngren's Cost Accounting: A Managerial Emphasis…](https://www.bartleby.com/isbn_cover_images/9780134475585/9780134475585_smallCoverImage.gif)
Horngren's Cost Accounting: A Managerial Emphasis…
Accounting
ISBN:
9780134475585
Author:
Srikant M. Datar, Madhav V. Rajan
Publisher:
PEARSON
![Intermediate Accounting](https://www.bartleby.com/isbn_cover_images/9781259722660/9781259722660_smallCoverImage.gif)
Intermediate Accounting
Accounting
ISBN:
9781259722660
Author:
J. David Spiceland, Mark W. Nelson, Wayne M Thomas
Publisher:
McGraw-Hill Education
![Financial and Managerial Accounting](https://www.bartleby.com/isbn_cover_images/9781259726705/9781259726705_smallCoverImage.gif)
Financial and Managerial Accounting
Accounting
ISBN:
9781259726705
Author:
John J Wild, Ken W. Shaw, Barbara Chiappetta Fundamental Accounting Principles
Publisher:
McGraw-Hill Education