You have been provided with the following information related to the year 2020. The company is a public company and therefore is using IFRS to report. Defined benefit obligation, Jan 1 $395,000 Fair value of plan assets, Jan 1 360,000 Current service cost 302,000 Interest (discount) rate 11% Expected & actual return on plan assets 10% Past service cost (as of Jan 1) 25,600 Actuarial loss 14,600 Contributions to plan 280,000 Remeasurement loss on plan assets 11,600 Payments to retirees 280,000 Required: a) Calculate the pension expense to be reported on the income statement for 2020. b) Calculate the amount to be shown as OCI for 2020. Pension Plans c) Calculate the fair value of the plan assets at December 31, 2020. d) Prepare the journal entries to reflect the accounting for the company's pension plan for the year ending December 31, 2020. e) The Company is also curious as to what the differences in recognition of defined benefit plans with benefits that vest or accumulate under ASPE and IFRS are. Could you please explain this to them?
You have been provided with the following information related to the year 2020. The company is a public company and therefore is using IFRS to report.
Defined benefit obligation, Jan 1 $395,000 Fair value of plan assets, Jan 1 360,000 Current service cost 302,000 Interest (discount) rate 11% Expected & actual return on plan assets 10% Past service cost (as of Jan 1) 25,600 Actuarial loss 14,600 Contributions to plan 280,000 Remeasurement loss on plan assets 11,600 Payments to retirees 280,000 Required: a) Calculate the pension expense to be reported on the income statement for 2020. b) Calculate the amount to be shown as OCI for 2020. Pension Plans c) Calculate the fair value of the plan assets at December 31, 2020. d) Prepare the
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