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.
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 1E
Related questions
Question
![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)
(a)
As a result of the operation of the plan during 2025, the following
additional data are provided by the actuary.
Service cost
Settlement rate, 9%
Actual return on plan assets
Amortization of prior service cost
Expected returson plan assets
Unexpected loss from change in projected benefit obligation
due to change in actuarial predictions
Contributions
Benentspaid retirees
items
Balance, Jan 1, 2025
Service cost
$496,400
610,800
interest cost
114400
Actual return
98,000 Dr.
Unexpected gain
Using the data above, compute pension expense for Sandhill. for the
year 2025 by preparing a pension worksheet. (Enter all amounts
as positive.)
$90.900
54,700
18.300
51.600
76.600
103.700
85,200
Annual Pension
Expense
C
Cath
SUPPORT](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2Ff74fce35-c800-4836-af45-fb89d29d89f0%2Fff749a8b-b538-4f8a-b43d-e237d5dd433b%2F4urgl0t_processed.jpeg&w=3840&q=75)
Transcribed Image Text: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)
(a)
As a result of the operation of the plan during 2025, the following
additional data are provided by the actuary.
Service cost
Settlement rate, 9%
Actual return on plan assets
Amortization of prior service cost
Expected returson plan assets
Unexpected loss from change in projected benefit obligation
due to change in actuarial predictions
Contributions
Benentspaid retirees
items
Balance, Jan 1, 2025
Service cost
$496,400
610,800
interest cost
114400
Actual return
98,000 Dr.
Unexpected gain
Using the data above, compute pension expense for Sandhill. for the
year 2025 by preparing a pension worksheet. (Enter all amounts
as positive.)
$90.900
54,700
18.300
51.600
76.600
103.700
85,200
Annual Pension
Expense
C
Cath
SUPPORT
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