hello teacher please answer Kaplan Services Company (KSC) has 62employees, 33 of whom are assigned toDivision A and 29 to Division B. KSC incurred$377,580 of fringe benefits cost during 2014.RequiredDetermine the amount of the fringe benefitscost to be allocated to Division A and toDivision B.

Step 1: Definition of Fringe Benefit CostFringe benefit costs refer to the additional costs incurred…

Answered: Kaplan Services Company (KSC) has 62…

Intermediate Accounting: Reporting And Analysis

3rd Edition

ISBN:9781337788281

Author:James M. Wahlen, Jefferson P. Jones, Donald Pagach

Publisher:James M. Wahlen, Jefferson P. Jones, Donald Pagach

Chapter19: Accounting For Post Retirement Benefits

Section: Chapter Questions

Problem 6P

See similar textbooks

Similar questions

Determine a and b accounting
Summit Consulting Group (SCG) has 85 employees, 42 of whom are assigned to Department X and 43 to Department Y. SCG incurred $529,550 of health insurance costs during 2025. Required: Determine the amount of the health insurance costs to be allocated to Department X and to Department Y.
Charlton Company provided the following information concerning a defined benefit plan at the beginning ofcurrent year prior to the adoption of revised PAS 19:Debit CreditFair value of plan assets 4,750,000Unamortized past service cost 1,250,000Projected benefit obligation 5,500,000Unrecognized actuarial gain 850,000The transactions for the current year relating to the defined benefit plan are as follows:Current service cost 925,000Discount rate 6%Actual return on plan assets 485,000Contribution to the plan 1,350,000Benefits paid to retirees 995,000Increase in projected benefit obligation due to changes in actuarial assumptions 150,000Effective in the current year, the entity has applied the provisions of revised PAS 19 in relation to the definedbenefit plan. 18. Prepare journal entry to record the employee benefit expense.19. Compute for the Fair Value Plan Asset (FVPA) as of December 31.20. Compute for the projected benefit obligation on December 31.
On January 1, 2021 the memorandum records of Dakak Company’s defined benefit plan showed the following: Fair value of plan assets P 14,000,000 Unamortized past service cost 700,000 Unrecognized actuarial loss 2,000,000 Projected benefit obligation (15,000,000) Prepaid/accrued benefit cost – debit P 1,700,000 During 2021, the entity determined that its current service cost was P2,000,000 and the interest cost is 10%. The expected return on plan assets was 10% but the actual return during the year was 12%. Past service cost and any actuarial gain or loss should be amortized over 10 years. Other related information is as follows: Contribution to the plan P 2,400,000 Benefits paid to retirees during 2011 3,000,000 Decrease in accrued benefit obligation due to changes in actuarial assumption 400,000 a. What should be reported in the income…
S Inc follows ASPE but is planning to switch to IFRS in 2022. Beginning defined benefit obligation (DBO) balance on January 1, 2021 is $1,136. The plan is underfunded by 60% of this amount and the regulatory agencies consider this to be quite heavily underfunded. Past service costs were recorded on January 1, 2021. (The amount is to be determined). The current service costs for 2021 amounted to $280. The plan uses an interest rate of 8%. We recorded an interest expense of $104.48 for 2021. Our investments of the plan assets did very poorly earning only $26.356 on our plan assets in 2021. The corporate pension committee overseeing the plan operations had decided to fund an amount of $70 in addition to our normal annual contributions which we make as per our corporate policy. The company normally contributes 5% of the plan obligations existing at the beginning of the year plus 50% of the current service costs and 60% of any past service costs recorded during the year. Benefit payments…
Karlson Software Company is located in State H, which enables employers to reduce their contribution rates under the experience-rating system. From 2007 to 2016, inclusive, the company's total contributions to state unemployment compensation amounted to $14,695. For the calendar years 2017 to 2020, inclusive, the contribution rate for Karlson was 2.7%. The contributions of each employer are credited to an account maintained by the State Unemployment Compensation Commission. This account is credited with contributions paid into the account by the employer and is charged with unemployment benefits that are paid from the account. Starting January 1, 2021, the contributions rate for all employers in State H will be based on the following tax rate schedule: Reserve Ratio Contribution Rate Contributions falling below benefits paid 7.0% 0.0% to 7.9% 5.5% 8.0% to 9.9% 4.5% 10.0% to 11.9% 3.5% 12.0% to 14.9% 2.5% 15.0% or more 1.5% The annual payroll for calculation purposes…
At January 1, 2020, Blossom Corporation had plan assets of $258,000 and a defined benefit obligation of the same amount based on projected costs. During 2020, the current service cost was $28,050, the discount rate on the DBO and plan assets was 10%, actual return on plan assets was $31,850, contributions by Blossom were $20,550, benefits paid were $17,500, and the cost of past service benefits granted effective December 31, 2020, was $29,000.Prepare a pension work sheet for Blossom Corporation for 2020 assuming that Blossom follows IFRS.
At the beginning of current year, De Guzman Company reported the following information in relation to a defined benefit plan: Fair value of plan assets - 7,000,000 Projected benefit obligation - 7,500,000 During the current year, the entity determined that the current service cost was 1,400,000 and the discount rate is 10%. The actual return on plan assets during the year was 840,000. Other related information for the current year: Contribution to the plan - 1,200,000 Benefits paid to retirees - 1,500,000 Decrease in projected benefit obligation due to changes in actuarial assumptions - 200,000 Present value of defined benefit obligation settled - 500,000 Settlement price of defined benefit obligation- 400,000 1. What amount should be reported in the income statement for the current year as employee benefit expense? 2. What is the net amount of remeasurements on Dec 31? 3. What is the fair value of plan assets kn Dec 31? 4. What is the projected benefit obligation on Dec 31?…
Applebaum Security Company is located in State H, which enables employers to reduce their contribution rates underthe experience-rating system. From 2005 to 2014, inclusive, the company’s total contributions to state unemployment compensation amounted to $18,135. For the calendar years 2015 to 2018, inclusive, the contribution rate for Applebaum was 3.7%. The contributions of each employer are credited to an account maintained by the State UnemploymentCompensation Commission. This account is credited with contributions paid into the account by the employer and ischarged with unemployment benefits that are paid from the account. Starting January 1, 2019, the contributions ratefor all employers in State H will be based on the following tax rate schedule:Reserve Ratio Contribution RateContributions falling below benefits paid....................... 7.0%0.0% to 7.9%................................................................ 5.5%8.0%…
Given the following information for current fiscal year
The actuary for the pension plan of Indigo Inc. calculated the following net gains and losses. Incurred during the Year 2020 2021 2022 2023 As of January 1, Other information about the company's pension obligation and plan assets is as follows. 2020 2021 2022 (Gain) or Loss $302,200 476,600 2023 (210,400) (291,300) Projected Benefit Obligation $4,029,300 4,515,400 5,019,900 4,255,600 Plan Assets (market-related asset value) $2,423,700 2,180,800 2,580,100 3,067,900 Indigo Inc. has a stable labor force of 400 employees who are expected to receive benefits under the plan. The total service-years for all participating employees is 4,400. The beginning balance of accumulated OCI (G/L) is zero on January 1, 2020. The market-related value and the fair value of plan assets are the same for the 4-year period. Use the average remaining service life per employee as the basis for amortization. Compute the minimum amount of accumulated OCI (G/L) amortized as a component of net periodic pension…
A Company provided the following information for the current year: Current service cost 500,000 Interest on PBO 600,000 Interest income on plan asset 350,000 Loss on settlement 250,000 Past service cost during the year 300,000 Actual return on plan asset 850,000 Actuarial loss during the year 200,000 Contribution to the plan 1,500,000 What is the total defined benefit cost?

SEE MORE QUESTIONS

Recommended textbooks for you

Intermediate Accounting: Reporting And Analysis

Accounting

ISBN:

9781337788281

Author:

James M. Wahlen, Jefferson P. Jones, Donald Pagach

Publisher:

Cengage Learning

PAYROLL ACCT., 2019 ED.(LL)-TEXT

Accounting

ISBN:

9781337619783

Author:

BIEG

Publisher:

CENGAGE L

Intermediate Accounting: Reporting And Analysis

Accounting

ISBN:

9781337788281

Author:

James M. Wahlen, Jefferson P. Jones, Donald Pagach

Publisher:

Cengage Learning

PAYROLL ACCT., 2019 ED.(LL)-TEXT

Accounting

ISBN:

9781337619783

Author:

BIEG

Publisher:

CENGAGE L

SEE MORE TEXTBOOKS

Kaplan Services Company (KSC) has 62 employees, 33 of whom are assigned to Division A and 29 to Division B. KSC incurred $377,580 of fringe benefits cost during 2014. Required Determine the amount of the fringe benefits cost to be allocated to Division A and to Division B.