The following facts apply to the pension plan of Wildhorse Inc. for the year 2020. Plan assets, January 1, 2020 $470,900 Projected benefit obligation, January 1, 2020 470,900 Settlement rate 8 % Service cost 38,500 Contributions (funding) 24,300 Actual and expected return on plan assets 46,800 Benefits paid to retirees 34,700 Using the preceding data, compute pension expense for the year 2020. As part of your solution, prepare a pension worksheet that shows the journal entry for pension expense for 2020 and the year-end balances in the related pension accounts. (Enter all amounts as positive.) WILDHORSE INC. Pension Worksheet—2020 General Journal Entries Memo Record Items Annual Pension Expense Cash Pension Asset/ Liability Projected Benefit Obligation Plan Assets Balance, January 1, 2020 $enter a net debit or credit balance select between debit and credit $enter a net debit or credit balance select between debit and credit $enter a net debit or credit balance select between debit and credit $enter a net debit or credit balance select between debit and credit $enter a net debit or credit balance select between debit and credit Service cost enter a dollar amount select between debit and credit enter a dollar amount select between debit and credit enter a dollar amount select between debit and credit enter a dollar amount select between debit and credit enter a dollar amount select between debit and credit Interest cost enter a dollar amount select between debit and credit enter a dollar amount select between debit and credit enter a dollar amount select between debit and credit enter a dollar amount select between debit and credit enter a dollar amount select between debit and credit Actual return enter a dollar amount select between debit and credit enter a dollar amount select between debit and credit enter a dollar amount select between debit and credit enter a dollar amount select between debit and credit enter a dollar amount select between debit and credit Contributions enter a dollar amount select between debit and credit enter a dollar amount select between debit and credit enter a dollar amount select between debit and credit enter a dollar amount select between debit and credit enter a dollar amount select between debit and credit Benefits enter a dollar amount select between debit and credit enter a dollar amount select between debit and credit enter a dollar amount select between debit and credit enter a dollar amount select between debit and credit enter a dollar amount select between debit and credit Journal entry, December 31 $enter a net debit or credit amount select between debit and credit $enter a net debit or credit amount select between debit and credit enter a net debit or credit amount select between debit and credit enter a net debit or credit amount select between debit and credit enter a net debit or credit amount select between debit and credit Balance, December 31, 2020 $enter a net debit or credit balance select between debit and credit $enter a net debit or credit balance select between debit and credit $enter a net debit or credit balance select between debit and credit
The following facts apply to the pension plan of Wildhorse Inc. for the year 2020. Plan assets, January 1, 2020 $470,900 Projected benefit obligation, January 1, 2020 470,900 Settlement rate 8 % Service cost 38,500 Contributions (funding) 24,300 Actual and expected return on plan assets 46,800 Benefits paid to retirees 34,700 Using the preceding data, compute pension expense for the year 2020. As part of your solution, prepare a pension worksheet that shows the journal entry for pension expense for 2020 and the year-end balances in the related pension accounts. (Enter all amounts as positive.) WILDHORSE INC. Pension Worksheet—2020 General Journal Entries Memo Record Items Annual Pension Expense Cash Pension Asset/ Liability Projected Benefit Obligation Plan Assets Balance, January 1, 2020 $enter a net debit or credit balance select between debit and credit $enter a net debit or credit balance select between debit and credit $enter a net debit or credit balance select between debit and credit $enter a net debit or credit balance select between debit and credit $enter a net debit or credit balance select between debit and credit Service cost enter a dollar amount select between debit and credit enter a dollar amount select between debit and credit enter a dollar amount select between debit and credit enter a dollar amount select between debit and credit enter a dollar amount select between debit and credit Interest cost enter a dollar amount select between debit and credit enter a dollar amount select between debit and credit enter a dollar amount select between debit and credit enter a dollar amount select between debit and credit enter a dollar amount select between debit and credit Actual return enter a dollar amount select between debit and credit enter a dollar amount select between debit and credit enter a dollar amount select between debit and credit enter a dollar amount select between debit and credit enter a dollar amount select between debit and credit Contributions enter a dollar amount select between debit and credit enter a dollar amount select between debit and credit enter a dollar amount select between debit and credit enter a dollar amount select between debit and credit enter a dollar amount select between debit and credit Benefits enter a dollar amount select between debit and credit enter a dollar amount select between debit and credit enter a dollar amount select between debit and credit enter a dollar amount select between debit and credit enter a dollar amount select between debit and credit Journal entry, December 31 $enter a net debit or credit amount select between debit and credit $enter a net debit or credit amount select between debit and credit enter a net debit or credit amount select between debit and credit enter a net debit or credit amount select between debit and credit enter a net debit or credit amount select between debit and credit Balance, December 31, 2020 $enter a net debit or credit balance select between debit and credit $enter a net debit or credit balance select between debit and credit $enter a net debit or credit balance select between debit and credit
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
Related questions
Question
The following facts apply to the pension plan of Wildhorse Inc. for the year 2020.
| Plan assets, January 1, 2020 | $470,900 | ||
| Projected benefit obligation, January 1, 2020 | 470,900 | ||
| Settlement rate | 8 | % | |
| Service cost | 38,500 | ||
| Contributions (funding) | 24,300 | ||
| Actual and expected return on plan assets | 46,800 | ||
| Benefits paid to retirees | 34,700 |
Using the preceding data, compute pension expense for the year 2020. As part of your solution, prepare a pension worksheet that shows the
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WILDHORSE INC.
Pension Worksheet—2020 |
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General Journal Entries
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Memo Record
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Items
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Annual Pension
Expense |
Cash
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Pension Asset/
Liability |
Projected Benefit
Obligation |
Plan
Assets |
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Balance, January 1, 2020
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$enter a net debit or credit balance
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select between debit and credit
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$enter a net debit or credit balance
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select between debit and credit
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$enter a net debit or credit balance
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select between debit and credit
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$enter a net debit or credit balance
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select between debit and credit
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$enter a net debit or credit balance
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select between debit and credit
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Service cost
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enter a dollar amount
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select between debit and credit
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enter a dollar amount
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select between debit and credit
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enter a dollar amount
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select between debit and credit
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enter a dollar amount
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select between debit and credit
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enter a dollar amount
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select between debit and credit
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Interest cost
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enter a dollar amount
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select between debit and credit
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enter a dollar amount
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select between debit and credit
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enter a dollar amount
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select between debit and credit
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enter a dollar amount
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select between debit and credit
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enter a dollar amount
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select between debit and credit
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Actual return
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enter a dollar amount
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select between debit and credit
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enter a dollar amount
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select between debit and credit
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enter a dollar amount
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select between debit and credit
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enter a dollar amount
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select between debit and credit
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enter a dollar amount
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select between debit and credit
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Contributions
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enter a dollar amount
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select between debit and credit
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enter a dollar amount
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select between debit and credit
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enter a dollar amount
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select between debit and credit
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enter a dollar amount
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select between debit and credit
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enter a dollar amount
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select between debit and credit
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Benefits
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enter a dollar amount
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select between debit and credit
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enter a dollar amount
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select between debit and credit
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enter a dollar amount
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select between debit and credit
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enter a dollar amount
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select between debit and credit
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enter a dollar amount
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select between debit and credit
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Journal entry, December 31
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$enter a net debit or credit amount
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select between debit and credit
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$enter a net debit or credit amount
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select between debit and credit
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enter a net debit or credit amount
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select between debit and credit
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enter a net debit or credit amount
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select between debit and credit
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enter a net debit or credit amount
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select between debit and credit
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Balance, December 31, 2020
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$enter a net debit or credit balance
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select between debit and credit
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$enter a net debit or credit balance
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select between debit and credit
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$enter a net debit or credit balance
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select between debit and credit
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