The following defined pension data of Grouper Corp. apply to the year 2020. For 2020, prepare a pension worksheet for Grouper Corp. that shows the journal entry for pension expense and the year-end balances in the related pension accounts. (Enter all amounts as positive.) Projected benefit obligation, 1/1/20 (before amendment) $509,000 Plan assets, 1/1/20 496,000 Pension liability 13,000 On January 1, 2020, Grouper Corp., through plan amendment, grants prior service benefits having a present value of 123,000 Settlement rate 9 % Service cost 58,300 Contributions (funding) 59,600 Actual (expected) return on plan assets 48,300 Benefits paid to retirees 43,500 Prior service cost amortization for 2020 16,400
The following defined pension data of Grouper Corp. apply to the year 2020. For 2020, prepare a pension worksheet for Grouper Corp. that shows the journal entry for pension expense and the year-end balances in the related pension accounts. (Enter all amounts as positive.) Projected benefit obligation, 1/1/20 (before amendment) $509,000 Plan assets, 1/1/20 496,000 Pension liability 13,000 On January 1, 2020, Grouper Corp., through plan amendment, grants prior service benefits having a present value of 123,000 Settlement rate 9 % Service cost 58,300 Contributions (funding) 59,600 Actual (expected) return on plan assets 48,300 Benefits paid to retirees 43,500 Prior service cost amortization for 2020 16,400
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Question
The following defined pension data of Grouper Corp. apply to the year 2020.
For 2020, prepare a pension worksheet for Grouper Corp. that shows the
| Projected benefit obligation, 1/1/20 (before amendment) | $509,000 | ||
| Plan assets, 1/1/20 | 496,000 | ||
| Pension liability | 13,000 | ||
| On January 1, 2020, Grouper Corp., through plan amendment, grants prior service benefits having a present value of |
123,000 | ||
| Settlement rate | 9 | % | |
| Service cost | 58,300 | ||
| Contributions (funding) | 59,600 | ||
| Actual (expected) return on plan assets | 48,300 | ||
| Benefits paid to retirees | 43,500 | ||
| Prior service cost amortization for 2020 |
16,400
|
Transcribed Image Text:Crane Company provides the following information about its defined benefit pension plan for the year 2017.
Service cost
$9,200
Contribution to the plan
106,100
Prior service cost amortization
10,300
Actual and expected return on plan assets
64,100
Benefits paid
40,100
Plan assets at January 1, 2017
Projected benefit obligation at January 1, 2017
632,500
702,600
Accumulated OCI (PSC) at January 1, 2017
151,200
Interest/discount (settlement) rate
11 %
Prepare a pension worksheet inserting January 1, 2017, balances, showing December 31, 2017. (Enter all amounts as positive.)
CRANE COMPANY
Pension Worksheet-2017.
General Journal Entries
Memo Record
Projected Benefit
Obligation
OCI
Annual
Pension Expense
Pension Asset/
Liability
Plan
Assets
Items
Cash
Prior Service Cost
Balance, January 1, 2017
Service cost
Interest cost
Actual return
Amortization of PSC
Contributions
Benefits
Journal entry for 2017
Accumulated OCI, Dec. 31, 2016
Balance, Dec. 31, 2017
Prepare the journal entry recording pension expense. (Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter o for the amounts.)
Account Titles and Explanation
Debit
Credit
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