The projected benefit obligation was $260 million at the beginning of the year. Service cost for the year was $30 million. At the end ofthe year, pension benefits paid by the trustee were $16 million and there were no pension-related other comprehensive income (OCI)accounts requiring amortization. The actuary's discount rate was 5%. The actual return on plan assets was $15 million although it wasexpected to be only $14 million.What was the total pension expense for the year?Note: Enter your answer in millions (i.e., 10,000,000 should be entered as 10).Pension expensemillion

Answered: Image /qna-images/answer/10c0b309-5ba8-4ef1-986c-1c226147061f.jpg

The projected benefit obligation was $260 million at the beginning of the year. Service cost for the year was $30 million. At the end of the year, pension benefits paid by the trustee were $16 million and there were no pension-related other comprehensive income (OC) accounts requiring amortization. The actuary's discount rate was 5%. The actual return on plan assets was $15 million although it was expected to be only $14 million. What was the total pension expense for the year? Note: Enter your answer in millions (i.e., 10,000,000 should be entered as 10). Pension expense million

The projected benefit obligation was $260 million at the beginning of the year. Service cost for the year was $30 million. At the end of the year, pension benefits paid by the trustee were $16 million and there were no pension-related other comprehensive income (OC) accounts requiring amortization. The actuary's discount rate was 5%. The actual return on plan assets was $15 million although it was expected to be only $14 million. What was the total pension expense for the year? Note: Enter your answer in millions (i.e., 10,000,000 should be entered as 10). Pension expense million

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

Smith, Inc. has a pension plan with the following data available for 20X1 and 20X2: 20X1 20X2 Service cost $ 30,000 $ 34,000 Interest cost $ 18,000 $ 20,000 Actual return on plan assets $ 15,000 $ 21,600 Beginning of year plan assets $ 200,000 $ 240,000 Discount rate 8 % 8 % Expected return on plan assets 8 % 8 % The adjustment to OCI for gain or loss from the return on plan assets for 20X1 is: Multiple Choice $0. $1,000 gain. $1,000 loss. unknown from information provided.
The pension plan was amended last year, creating a prior service cost of $50 million. Service cost and interest cost for the year were $20 million and $9 million, respectively. At the end of the year, there was a negligible balance in the net gain–pensions account. The actual return on plan assets was $9 million although it was expected to be $10 million. On average, employees’ remaining service life with the company is 10 years. What was the total pension cost for the year?
Pension data for the Denver Company include the following for the current calendar year:Discount rate, 8%Expected return on plan assets, 10%Actual return on plan assets, 9%Service cost, $200,000January 1:PBO $1,400,000ABO 1,000,000Plan assets 1,500,000Amortization of prior service cost 20,000Amortization of net gain 4,000December 31:Cash contributions to pension fund $220,000Benefit payments to retirees 240,000a) Determine pension expense for the year.b) Prepare the journal entries to record pension expense and funding for the year.
Vala
The PBO was $100 million at the beginning of the year and $114 million at the end of the year. At the end of the year, pension benefits paid by the trustee were $6 million and there were no pension-related OCI account. The actuary's discount rate was 5%. What was the amount of the service cost for the year? (Enter your answer in million, round to the nearest million, without dollar sign, ex. 123 or -123).
Smith, Inc. has a pension plan with the following data available for 20X1 and 20X2: 20X1 20X2 Service cost $ 30,000 $ 34,000 Interest cost $ 18,000 $ 20,000 Actual return on plan assets $ 15,000 $ 21,600 Beginning of year plan assets $ 200,000 $ 240,000 Discount rate 8 % 8 % Expected return on plan assets 8 % 8 % The adjustment to OCI for gain or loss from the return on plan assets for 20X2 is: Multiple Choice $0. $2,400 gain. $2,400 loss. unknown from information provided.
The projected benefit obligation was $400 million at the beginning of the year and $429 million at the end of the year. At the end of the year, pension benefits paid by the trustee were $18 million and there were no pension-related other comprehensive income accounts. The actuary’s discount rate was 5%. What was the amount of the service cost for the year?
The projected benefit obligation was $80 million at the beginning of the year and $85 million at the end of the year. Service cost for the year was $10 million. At the end of the year, there were no pension-related other comprehensive income accounts. The actuary’s discount rate was 5%. What was the amount of the retiree benefits paid by the trustee?
Pension plan assets were $340 million at the beginning of the year. The return on plan assets was 5%. At the end of the year, retiree benefits paid by the trustee were $15 million and cash invested in the pension fund was $19 million. What was the amount of the pension plan assets at year-end?
JDS Shipyard’s projected benefit obligation, accumulated benefit obligation, and plan assets were $40 million, $30 million, and $25 million, respectively, at the end of the year. What, if any, pension liability must be reported in the balance sheet? What would JDS report if the plan assets were $45 million instead?