The following data pertains to a defined benefit (DB) pension plan:defined benefit obligation, December 31, 2015long-term interest rate on corporate bondspast service cost, December 31, 2016, benefits andliability reducedactuarial revaluation, December 31, 2016, change inmortality assumptions, increased liabilityactual return on plan assets - 2016fair value of plan assets, December 31, 2015funding payment at December 31, 2016benefits paid to retirees 2016current service cost - 201625,00010%(1,200)6002,10016,0004,0002,0001,900Required:1. Calculate the net defined benefit pension asset/liability at December 31, 2015.2. For December 31, 2016, calculate the defined benefit obligation, fair value ofplan assets and the net defined benefit pension asset or liability.3. Calculate the three pension accounting elements and journal entries for servicecost, net interest and revaluations for 2016.

Net benefit obligation is the difference between the present benefit obligation and the fair value…

Answered: The following data pertains to a…

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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The following information is related to the defined benefit pension plan of Dreamworld Company for the year ended 12/31/2020: Service cost $ 60,000 110,000 150,000 640,000 750,000 150,000 900,000 960,000 Contributions to pension plan Benefits paid to retirees Plan assets (fair value), January 11 Plan assets (fair value), December 31 Actual return on plan assets PBO, January 1 PBO, December 31 Discount rate Long-term expected return on plan assets Prior Service Cost 1/1 $ 700,000 Average remaining years of service Assuming no other relevant data exist. Required: 10 years 10% 9% A. Calculate the company's pension expense for 2020. B. Make journal entry (entries) related to the plan at 12/31/2020.
The following data pertains to a defined benefit (DB) pension plan: defined benefit obligation, December 31, 2015 25,000 long-term interest rate on corporate bonds 10% past service cost, December 31, 2016, benefits and liability reduced (1,200) actuarial revaluation, December 31, 2016, change in mortality assumptions, increased liability 600 actual return on plan assets - 2016 2,100 fair value of plan assets, December 31, 2015 16,000 funding payment at December 31, 2016 4,000 benefits paid to retirees - 2016 2,000 current service cost - 2016 1,900 Required: Calculate the net defined benefit pension asset/liability at December 31, 2015. For December 31, 2016, calculate the defined benefit…
On January 1, 2021, a company has the following balances for its defined-benefit plan: Projected benefit obligation $536,000Fair value of plan assets 804,000 Other data related to the pension plan for 2021 are: Amortization of accumulated OCI-loss $76,000 Decrease in projected benefit obligation due to changes in actuarial assumptions 165,000 Service cost 311,840 Interest cost 218,000 Amortization of prior service costs 133,000 Contributions 475,000 Benefits paid 272,740 Actual return on plan assets 398,000 Expected return on plan assets 406,000 The balance of the projected benefit obligation at December 31, 2021 is $__________.
Sandhill Company provides the following information about its defined benefit pension plan for the year 2025. Service cost Contribution to the plan $91,600 104,400 Prior service cost amortization 10,800 Actual and expected return on plan assets 64,600 Benefits paid 40,300 Plan assets at January 1, 2025 650,000 Projected benefit obligation at January 1, 2025 692,000 Accumulated OCI (PSC) at January 1, 2025 150,000 Interest/discount (settlement) rate 11% (a) Prepare a pension worksheet inserting January 1, 2025, balances, showing December 31, 2025. (Enter all amounts as positive.
Electronic Distribution has a defined benefit pension plan. Characteristics of the plan during 2024 are as follows: ($ millions) $480 350 75 45 P80 balance, January 11 Plan assets balance, January 1 Service cost Interest cost Gain from change in actuarial assumption Benefits paid Actual return on plan assets. Contributions 2024 26 (36) 23 65 The expected long-term rate of return on plan assets was 8%. There were no AOCI balances related to pensions on January 1, 2024, but at the end of 2024, the company amended the pension formula, creating a prior service cost of $13 million.
Please Correct answer With Explanation do not give solution in images format
Current Attempt in Progress Blossom Company provides the following information about its defined benefit pension plan for the year 2020. $ 89,400 Service cost Contribution to the plan 104,800 Prior service cost amortization 9,700 Actual and expected return on plan assets 64,400 Benefits paid 40,800 Plan assets at January 1, 2020 627,300 Projected benefit obligation at January 1, 2020 697,700 Accumulated OCI (PSC) at January 1, 2020 149,700 Interest/discount (settlement) rate 10 % Compute the pension expense for the year 2020. Pension expense for 2020
) Maytag Service Co. reported the following for its defined-benefit pension plan for 2021: Settlement rate 3% Expected rate of return on plan assets 6.5% Service cost $750,000 Actual return on plan assets $460,000 Benefits paid to retirees $485,000 Average remaining service life of existing employees 10 years Projected…
Pension data for Barry Financial Services Incorporated include the following: Discount rate, 7% Expected return on plan assets, 13% Actual return on plan assets, 12% Service cost, 2024 January 1, 2024: Projected benefit obligation Accumulated benefit obligation Plan assets (fair value) Prior service cost- AOCI (2024 amortization, $25) Net gain- AOCI (2024 amortization, $12) There were no changes in actuarial assumptions. ($ in thousands) $ 490 3,200 2,900 3,300 415 510 December 31, 2024: Cash contributions to pension fund, December 31, 2024 Benefit payments to retirees, December 31, 2024 Required: 1. Determine pension expense for 2024. 425 450 2. Prepare the journal entries to record (a) pension expense, (b) gains and losses (if any), (c) funding, and (d) retiree benefits for 2024.
Hh1.
What's AllenCo's total "pension expense" for 2020?
The following information is available for the pension plan of Pharoah Company for the year 2025. Actual and expected return on plan assets Benefits paid to retirees Contributions (funding) Interest/discount rate Prior service cost amortization Projected benefit obligation, January 1, 2025 Service cost (a) Compute pension expense for the year 2025. Pension expense for 2025 $ $13,800 38,400 79,900 10% 7,800 452,000 54,700

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