Splish Co. has the following defined benefit pension plan balances on January 1, 2020.Projected benefit obligationFair value of plan assets$4,640,0004,640,000The interest (settlement) rate applicable to the plan is 10%. On January 1, 2021, the company amends its pensionagreement so that prior service costs of $603,000 are created. Other data related to the pension plan are:20202021Service cost$151,000$170,000Prior service cost amortization090,000Contributions (funding) to the plan202,000187,000Benefits paid222,000278,000Actual return on plan assets251,000348,000Expected rate of return on assets6 %8 %Splish Co.Partial Income StatementFor the Year Ended December 31, 2021Other Income/ExpensesComprehensive Income (Loss)Splish Co.Balance Sheet (Partial)December 31, 2021Stockholders' EquityCommon StockLong-term InvestmentsAccumulated Other Comprehensive Loss (PSC)Accumulated Other Comprehensive Loss (G/L) ✓+A51300041680

OCI= OTHER COMPREHENSIVE INCOMEEBE= EMPLOYEE BENEFIT EXPENSEFVPA= FAIR VALUE OF PLAN ASSET PBO=…

Answered: Splish Co. has the following defined…

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 6RE

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Given the following information for Tyler Companys pension plan at the beginning of the year, calculate the corridor, excess net loss (gain), and amortized net loss (gain). Assume an average remaining service life of 15 years.
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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The following information is available for Oriole Corporation’s pension plan for the year 2020: Plan assets, January 1, 2020 $410,000 Actual return on plan assets 17,000 Benefits paid to retirees 40,300 Contributions (funding) 94,100 Discount rate 11% Defined benefit obligation, January 1, 2020, accounting basis valuation 506,000 Service cost 66,300 Calculate pension expense for the year 2020, assuming that Oriole follows ASPE, and its accounting policy is to use an accounting basis valuation for its defined benefit obligation. Pension expense $ Provide the entries to recognize the pension expense and funding for the year. (Credit account titles are automatically indented when the amount is entered. Do not indent manually.) Date Account Titles and Explanation Debit Credit December 31, 2020 (To record pension expense.)…

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