The following pension-related data pertain to Metro Recreation's noncontributory, defined benefit pension plan for 2021:**Pension Data (in $000s, date: Dec. 31):**- Projected Benefit Obligation: $5,770- Accumulated Benefit Obligation: $5,090- Plan Assets (fair value): $7,075**Rates:**- Interest (discount) rate: 8%- Expected return on plan assets: 10%**Prior Service Costs and Adjustments:**- Prior Service Cost—AOCI (from Dec. 31, 2020, amendment): $83- Net Loss—AOCI: $480- Average remaining service life: 10 years**Other Adjustments:**- Gain due to changes in actuarial assumptions: $66- Contributions to pension fund (end of year): $480- Pension benefits paid (end of year): $435**Required Task:**Prepare a pension spreadsheet that outlines the relationships among the various pension balances, reflects the changes in those balances, and computes pension expense for 2021. In the spreadsheet:- Enter credit amounts with a minus sign and debit amounts with a positive sign.- Enter values in thousands (e.g., 200,000 should be entered as 200).**Spreadsheet Table Headings:**- Columns: PBO, Plan Assets, Prior Service Cost—AOCI, Net Loss—AOCI, Pension Expense, Cash, Net Pension (Liability)/Asset- Rows: Balance (Jan. 1, 2021), Service cost, Interest cost, Expected return on assets, Loss on assets, Amortization of:**Note:** This spreadsheet represents essential components and calculations related to pension plan accounting, reflecting year-end balances and necessary actions for managing Metro Recreation’s pension obligations effectively.

Working notes: 1 8% x $5,500 = $440 2 $5780 – 5500 – 440 + 66 + 435 = $341 3 10% x…

The following pension-related data pertain to Metro Recreation's noncontributory, defined benefit pension plan for 2021: ($ in 000s) Jan. 1 Dec. 31 $5,500 Projected benefit obligation Accumulated benefit obligation Plan assets (fair value) Interest (discount) rate, 8% Expected return on plan assets, 108 Prior service cost-AOCI (from Dec. 31, 2020, amendment) Net loss-AOCI Average remaining service life: 10 years Gain due to changes in actuarial assumptions Contributions to pension fund (end of year) Pension benefits paid (end of year) $5,780 4,090 3,785 6,630 7,075 086 683 66 480 435 Required: Prepare a pension spreadsheet that shows the relationships among the various pension balances, shows the changes in those balances, and computes pension expense for 2021. (Enter credit amounts with a minus sign and debit amounts with a positive sign. Enter your answers in thousands (i.e. 200,000 should be entered as 200).)

The following pension-related data pertain to Metro Recreation's noncontributory, defined benefit pension plan for 2021: ($ in 000s) Jan. 1 Dec. 31 $5,500 Projected benefit obligation Accumulated benefit obligation Plan assets (fair value) Interest (discount) rate, 8% Expected return on plan assets, 108 Prior service cost-AOCI (from Dec. 31, 2020, amendment) Net loss-AOCI Average remaining service life: 10 years Gain due to changes in actuarial assumptions Contributions to pension fund (end of year) Pension benefits paid (end of year) $5,780 4,090 3,785 6,630 7,075 086 683 66 480 435 Required: Prepare a pension spreadsheet that shows the relationships among the various pension balances, shows the changes in those balances, and computes pension expense for 2021. (Enter credit amounts with a minus sign and debit amounts with a positive sign. Enter your answers in thousands (i.e. 200,000 should be entered as 200).)

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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