The funded status of Hilton Paneling Incorporated's defined benefit pension plan and the balances in prior service cost and the net gain-pensions, are given below. Projected benefit obligation Plan assets Funded status Prior service cost-AOCI Net gain-AOCI ($ in thousands). 2024 Beginning 2024 Ending Balances Balances $2,500 2,600 1. Actual return 2. 3. Service cost 4. Pension expense 5. Average service period 100 336 340 $2.701 2,811 Retirees were paid $268,000, and the employer contribution to the pension fund was $247,000 at the end of 2024. The expected rate of return on plan assets was 10%, and the actuary's discount rate is 9%. There were no changes in actuarial estimates and assumptions regarding the PBO. Required: 1. Determine the actual return on plan assets of 2024. 2. Determine the loss or gain on plan assets of 2024. 3. Determine the service cost of 2024. thousand thousand thousand thousand years 110 308 308 4. Determine the pension expense of 2024. 5. Determine the average remaining service life of active employees (used to determine amortization of the net gain) for 2024. Note: For all requirements, 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
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The funded status of Hilton Paneling Incorporated's defined benefit pension plan and the balances in prior service cost and the net
gain-pensions, are given below.
Projected benefit obligation.
Plan assets
Funded status
Prior service cost-AOCI
Net gain-AOCI
($ in thousands)
2024 Beginning
Balances
$ 2,500
2,600
100
336
340
1. Actual return
2.
3. Service cost
4. Pension expense
5. Average service period
2024 Ending
Balances
$ 2,701
2,811
Retirees were paid $268,000, and the employer contribution to the pension fund was $247,000 at the end of 2024. The expected rate
of return on plan assets was 10%, and the actuary's discount rate is 9%. There were no changes in actuarial estimates and assumptions
regarding the PBO.
Required:
1. Determine the actual return on plan assets of 2024.
2. Determine the loss or gain on plan assets of 2024.
3. Determine the service cost of 2024.
110
308
308
4. Determine the pension expense of 2024.
5. Determine the average remaining service life of active employees (used to determine amortization of the net gain) for 2024.
Note: For all requirements, enter your answers in thousands (i.e. 200,000 should be entered as 200).
thousand
thousand
thousand
thousand
years
Transcribed Image Text:The funded status of Hilton Paneling Incorporated's defined benefit pension plan and the balances in prior service cost and the net gain-pensions, are given below. Projected benefit obligation. Plan assets Funded status Prior service cost-AOCI Net gain-AOCI ($ in thousands) 2024 Beginning Balances $ 2,500 2,600 100 336 340 1. Actual return 2. 3. Service cost 4. Pension expense 5. Average service period 2024 Ending Balances $ 2,701 2,811 Retirees were paid $268,000, and the employer contribution to the pension fund was $247,000 at the end of 2024. The expected rate of return on plan assets was 10%, and the actuary's discount rate is 9%. There were no changes in actuarial estimates and assumptions regarding the PBO. Required: 1. Determine the actual return on plan assets of 2024. 2. Determine the loss or gain on plan assets of 2024. 3. Determine the service cost of 2024. 110 308 308 4. Determine the pension expense of 2024. 5. Determine the average remaining service life of active employees (used to determine amortization of the net gain) for 2024. Note: For all requirements, enter your answers in thousands (i.e. 200,000 should be entered as 200). thousand thousand thousand thousand years
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