Sandhill Corp. sponsors a defined benefit pension plan for itsemployees. On January 1, 2025, the following balances relate to thisplan.Plan assetsProjected benefit obligationPension asset/labilityAccumulated OCI (PSC)(a)As a result of the operation of the plan during 2025, the followingadditional data are provided by the actuary.Service costSettlement rate, 9%Actual return on plan assetsAmortization of prior service costExpected returson plan assetsUnexpected loss from change in projected benefit obligationdue to change in actuarial predictionsContributionsBenentspaid retireesitemsBalance, Jan 1, 2025Service cost$496,400610,800interest cost114400Actual return98,000 Dr.Unexpected gainUsing the data above, compute pension expense for Sandhill. for theyear 2025 by preparing a pension worksheet. (Enter all amountsas positive.)$90.90054,70018.30051.60076.600103.70085,200Annual PensionExpenseCCathSUPPORT

A pension worksheet helps to know about the benefits or losses from the particular scheme. It is…

Sandhill Corp. sponsors a defined benefit pension plan for its employees. On January 1, 2025, the following balances relate to this plan. Plan assets Projected benefit obligation Pension asset/lability Accumulated OCI (PSC) $496,400 610,800 114400 98,000 Dr.

Sandhill Corp. sponsors a defined benefit pension plan for its employees. On January 1, 2025, the following balances relate to this plan. Plan assets Projected benefit obligation Pension asset/lability Accumulated OCI (PSC) $496,400 610,800 114400 98,000 Dr.

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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Sunland Corporation is a private company with a defined benefit pension plan. The following information is available for Sunland for 2023: Opening balance, DBO Opening balance, plan assets Service cost Employer contributions paid evenly through 2023 Applicable interest or discount rate Actual return on plan assets Actuarial loss due to change in actuarial assumptions $188,000 comprehensive income of $ 179,000 52,000 69,000 10% 22,500 12,500 Assuming that Sunland follows IFRS, determine the 2023 effect of the pension plan on defined benefit expense and the company's shareholders' equity. -2,400 , for a total reduction in shareholders' equity of $ 11,700
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The following information pertains to Foundry Inc.'s defined benefit pension plan: 2021 2022 Beginning Beginning ($ in thousands) balances balances Projected benefit obligation $ ( 6,100) $ (6,604) Plan assets 5,800 6,436 Prior service cost-AOCI 610 575 Net loss-AOCI 2$ 730 2$ 816 At the end of 2021, Foundry contributed $715 thousand to the pension fund and benefit payments of $624 thousand were made to retirees. The expected rate of return on plan assets was 11%, and the actuary's discount rate is 8%. There were no changes in actuarial estimates and assumptions regarding the PBO. What is the 2021 pension expense for Foundry's plan? Multiple Choice $625 thousand. None of these are correct. $532 thousand. $603 thousand.
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