HANSON CORP. Pension Worksheet-2012 General Journal Entries Memo Record Annual Pension Items Expense Cash OCI- Penison Gain/Loss Asset/Liability Defined Benefit Obligation Plan Assets Balance, Jan. 1, 2012 180,000 Cr. 700,000 Cr. 520,000 Dr. Service cost 108,000 Dr. 108,000 Cr. Interest expense" 63,000 Dr. 63,000 Cr. Interest revenue** 46,800 Cr. 46,800 Dr. Contributions Benefits 133,000 Cr. 133,000 Dr. 85,000 Dr. 85,000 Cr. Asset gain" 1.200 Cr. 1,200 Dr. Journal entry for 2012 124.200 Dr. 133,000 Cr. 1,200 Cr. 10,000 Dr. Accumulated OCI, Dec. 31, 2011 Balance, Dec. 31, 2012 *£63,000 = £700,000 X .09. 91.000 Dr. 89.800 Dr. 170,000 Cr. 786,000 Cr. 616,000 Dr.
Create same table for the below info - ensure that the journal entries in the table balances just like the example.Thanks FlagStaff Ltd has a defined benefit pension plan for its employees. The company is
considering introducing a defined benefit contribution plan, which will be available to
all incoming staff. Although the defined benefit plan is now closed to new staff, the
fund is active for all employees who have tenure with the company. In 2020, the
following actuarial report was received for the defined benefit plan:
2020/$
Present value of the defined benefit obligation 31 December 2019 18 000 000
Past Service Cost 4 000 000
Net interest ?
Current service cost 600 000
Benefits paid 2 000 000
Actuarial gain/loss on DBO ?
Present value of the defined benefit obligation 31 December 2020 21 000 000
Fair value of plan assets at 31 December 2019 17 000 000
Return on plan assets ?
Contributions paid to the plan during the year 1 500 000
Benefits paid by the plan during the year 2 000 000
Fair value of plan assets at 31 December 2020 27 500 000
Additional information
(a) All contributions received by the plan were paid by Flagstaff Ltd.
(b) The interest rate used to measure the present value of the defined benefit
obligation was 9% at 31 December 2019 and 31 December 2020.
(c) The asset ceiling was nil at 31 December 2019 and 31 December 2020.
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