The following information is made available involved the defined benefit pension plan of DDD Company for the year 20x8: Fair value of plant asset, January 1, 20x7 Present value of benefit obligation, January 1, 20x7 Current service cost Actual return on plan asset Contribution to the plan Benefit paid to retirees Decrease in the present value of benefit obligation due to change in actuarial assumption Present value of defined benefit obligation settled (carrying value) Settlement price of defined benefit obligation (early retirement) Discount rate P3,500,000 3,750,000 700,000 420,000 600,000 750,000 100,000 250,000 200,000 10%

The following information is made available involved the defined benefit pension plan of DDD Company for the year 20x8: Fair value of plant asset, January 1, 20x7 Present value of benefit obligation, January 1, 20x7 Current service cost Actual return on plan asset Contribution to the plan Benefit paid to retirees Decrease in the present value of benefit obligation due to change in actuarial assumption Present value of defined benefit obligation settled (carrying value) Settlement price of defined benefit obligation (early retirement) Discount rate P3,500,000 3,750,000 700,000 420,000 600,000 750,000 100,000 250,000 200,000 10%

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

See similar textbooks

Similar questions

Melinda received sick pay from an employer-paid insurance policy in 2020. The sick pay will be Select one: O a. Nontaxable income O b. Deductible on Schedule A O C. Taxable income O d. An adjustment to income on Form 1040
Give me two paragraphs explaining a pension plan
Define the service cost component of the periodic pension expense.
What type of defined contribution plan allows participants to contribute after-tax amounts to their retirement account? Select one: a. Roth 401(k) b. 403(b) c. 401(k) d. 457
For the current year, the maximum percentage of social security benefits which might be included In a taxpayer's gross income is? A, 50% 85% 0% 65% 100%
Answer part C only The following information was obtained from the financial statements of X Inc. Defined Benefit Plan Obligations Pension Benefits 2020……………………..2019 Defined Benefit Obligation(DBO): Balance, beginning of year…………………………………………$40,032…………………..42,370 Current Service Cost…………………………………………………… 864…………………. 1,126 Interest Cost…………………………………………………………… 2,344…………………... 2,255 Benefits Paid……………………………………………………………(3,198)………………….. (2,881) Actuarial Gains………………………………………………………... (3,339)………………….. (2,838) Balance, end of year………………………………………………….$36,703……………….….$40,032 Defined Benefit Plan Assets Pension Benefits 2020…………..…………2019 Balance, beginning of year…………………………………………$75,891………………….$90,828 Expected return on Plan Assets……………………………………. 5,599………………….. 6,723 Employee…
What is the maximum amount a 55-year-old taxpayer and 52-year-old spouse can put into a Traditional or Roth IRA for 2021, assuming they earn $70,000 in total and are not participants in pension plans?
Sandhill Corporation reports the following January 1, 2023 balances for its defined benefit pension plan, which it accounts for under IFRS: plan assets, $460,000; defined benefit obligation, $460,000. Other data relating to three years of operation of the plan are as follows: 2023 2024 2025 Annual service cost $34,800 $43,700 $58,600 Discount rate 10% 10% 10% Actual return on plan assets 37,100 50,040 54,000 Funding of current service cost 34,800 43,700 58,600 Funding of past service cost 74,000 78,500 Benefits paid 31,500 37,490 49,000 Past service cost (plan amended, 1/1/24) 348,000 Change in actuarial assumptions establishes a December 31, 2025 defined benefit obligation of 1,196,000
You are a pension fund manager who has obligations over the years to come of: t: 1 2 3 5 CF: 6.5 7 2.5 13.5 The applicable rate is: 0.095 What is the modified duration of this pension obligation? O3.0977 3.3360 3.2050 2.9786 3.4361 13
What is the annual social security withholding for an executive whose annual gross earnings are 98485?
The following information relates to the pension plan for the employees of Cullumber Co.: Accum. benefit obligation Projected benefit obligation Fair value of plan assets AOCI - net (gain) or loss Settlement rate (for year) Expected rate of return (for year) O $665200 gain. O $282200 loss. 1/1/20 $110600 gain. $272400 gain. $8140000 8665000 7825000 -0- $ 12/31/20 8560000 9358000 9820000 (1402000 ) 11% 8% 12/31/21 $ 11500000 12907000 10954000 (1570000 ) 11% Cullumber estimates that the average remaining service life is 16 years. Cullumber's contribution was $1213000 in 2021 and benefits paid were $877000. The unexpected gain or loss on plan assets in 2021 is 7%
6., RST Company offers a qualified retirement plan. Each employee contributes 4 percent of his or her pretax income to the plan, and RST matches each employee's contribution. An employee's benefit at retirement is determined by his or her account balance at the time of retirement. What type of retirement plan does RST offer? a. Defined contribution plan. b. Defined benefit, flat percentage of annual earnings c. Defined benefit, unit-credit formula. d. Defined benefit, flat dollar amount for all employees