The following information relates to the pension plan for the employees of RR Co.: 1/1/1912/31/1912/31/20Defined benefit obligationP5,580,000P5,976,000P8,004,000Fair value of plan assets5,100,0006,240,0006,888,000 Net (gain) or loss0(164,000)(96,000)Discount rate (for year) 11%11%RR estimates that the average remaining service life is 16 years. RR's contribution was P756,000 in 2020 and benefits paid were P564,000.The actual return on plan assets in 2020 is?

Defined benefit pension plans are those plans which are made for retirement benefit of employees.…

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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 relates to the pension plan for the employees of RR Co.:

	1/1/19	12/31/19	12/31/20
Defined benefit obligation	P5,580,000	P5,976,000	P8,004,000
Fair value of plan assets	5,100,000	6,240,000	6,888,000
Net (gain) or loss	0	(164,000)	(96,000)
Discount rate (for year)		11%	11%

RR estimates that the average remaining service life is 16 years. RR's contribution was P756,000 in 2020 and benefits paid were P564,000.

The actual return on plan assets in 2020 is?

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