Chapter 17, Problem 17.3E

To determine

Pension expense: Pension expense is an expense to the employer paid as compensation after the completion of services performed by the employees.

Pension expense includes the following components:

• Service cost
• Interest cost
• Expected return on plan assets
• Amortization of prior service cost
• Amortization of net loss or net gain

To indicate: Whether each of the following events listed below increases, decreases, or has no effect on an employer’s periodic expense in the year the event occurs.