Quebec's prepaid pension cost at December 31, 2002 is Quebec Company adopted a defined benefit pension plan on January 1, 2002. Quebec amortizes the past service cost over 16 years and funds past service cost by making equal payments to the fund trustee at the end of each of the first ten years. The current service cost is fully funded at the end of each year. The following data are available for 2002: Current service cost for 2002 P220,000 Past service cost: Amortized Funded 83,400 114,400 O (a) P114,400 (b) P83,400 (c) P31,000 (d) P 0

Quebec's prepaid pension cost at December 31, 2002 is Quebec Company adopted a defined benefit pension plan on January 1, 2002. Quebec amortizes the past service cost over 16 years and funds past service cost by making equal payments to the fund trustee at the end of each of the first ten years. The current service cost is fully funded at the end of each year. The following data are available for 2002: Current service cost for 2002 P220,000 Past service cost: Amortized Funded 83,400 114,400 O (a) P114,400 (b) P83,400 (c) P31,000 (d) P 0

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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