The treatment of separate conceptual entries for the preceding information as per IFRS. Giveninformation: Fair value of plan assets at the beginning is $600,000. Value of PBO at the beginning is $558,000. Service cost is $125,800. Settlement rate is 12%. Expected rate on plan assets is 9%. Actual loss on plan assets is $30,100. Contribution for the year is $45,700. Benefit paid for the year is $97,440. Accumulated comprehensive income at the beginning is $42,000. Prior service cost is $19,690. Amortization of prior service cost is $7,000. Actuarial gain is $8,000. Average remaining service life of the employee base is 15 years.

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Answer 1

Question

Chapter 19, Problem 19.10E

a.

To determine

The treatment of separate conceptual entries for the preceding information as per IFRS.

Giveninformation:

Fair value of plan assets at the beginning is $600,000.

Value of PBO at the beginning is $558,000.

Service cost is $125,800.

Settlement rate is 12%.

Expected rate on plan assets is 9%.

Actual loss on plan assets is $30,100.

Contribution for the year is $45,700.

Benefit paid for the year is $97,440.

Accumulated comprehensive income at the beginning is $42,000.

Prior service cost is $19,690.

Amortization of prior service cost is $7,000.

Actuarial gain is $8,000.

Average remaining service life of the employee base is 15 years.

b.

To determine

The value of total pension cost for the year as per IFRS.

Given information:

Fair value of plan assets at the beginning is $600,000.

Value of PBO at the beginning is $558,000.

Service cost is $125,800.

Settlement rate is 12%.

Expected rate on plan assets is 9%.

Actual loss on plan assets is $30,100.

Contribution for the year is $45,700.

Benefit paid for the year is $97,440.

Accumulated comprehensive income at the beginning is $42,000.

Prior service cost is $19,690.

Amortization of prior service cost is $7,000.

Actuarial gain is $8,000.

Average remaining service life of the employee base is 15 years.

c.

To determine

The value of closing balance of plan assets and PBO and indicate the funded status of the plan.

Given information:

Fair value of plan assets at the beginning is $600,000.

Value of PBO at the beginning is $558,000.

Service cost is $125,800.

Settlement rate is 12%.

Expected rate on plan assets is 9%.

Actual loss on plan assets is $30,100.

Contribution for the year is $45,700.

Benefit paid for the year is $97,440.

Accumulated comprehensive income at the beginning is $42,000.

Prior service cost is $19,690.

Amortization of prior service cost is $7,000.

Actuarial gain is $8,000.

Average remaining service life of the employee base is 15 years.

d.

To determine

The journal entry to record the pension cost.

Given information:

Fair value of plan assets at the beginning is $600,000.

Value of PBO at the beginning is $558,000.

Service cost is $125,800.

Settlement rate is 12%.

Expected rate on plan assets is 9%.

Actual loss on plan assets is $30,100.

Contribution for the year is $45,700.

Benefit paid for the year is $97,440.

Accumulated comprehensive income at the beginning is $42,000.

Prior service cost is $19,690.

Amortization of prior service cost is $7,000.

Actuarial gain is $8,000.

Average remaining service life of the employee base is 15 years.

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Answer 2

Question

Chapter 19, Problem 19.10E

a.

To determine

The treatment of separate conceptual entries for the preceding information as per IFRS.

Giveninformation:

Fair value of plan assets at the beginning is $600,000.

Value of PBO at the beginning is $558,000.

Service cost is $125,800.

Settlement rate is 12%.

Expected rate on plan assets is 9%.

Actual loss on plan assets is $30,100.

Contribution for the year is $45,700.

Benefit paid for the year is $97,440.

Accumulated comprehensive income at the beginning is $42,000.

Prior service cost is $19,690.

Amortization of prior service cost is $7,000.

Actuarial gain is $8,000.

Average remaining service life of the employee base is 15 years.

b.

To determine

The value of total pension cost for the year as per IFRS.

Given information:

Fair value of plan assets at the beginning is $600,000.

Value of PBO at the beginning is $558,000.

Service cost is $125,800.

Settlement rate is 12%.

Expected rate on plan assets is 9%.

Actual loss on plan assets is $30,100.

Contribution for the year is $45,700.

Benefit paid for the year is $97,440.

Accumulated comprehensive income at the beginning is $42,000.

Prior service cost is $19,690.

Amortization of prior service cost is $7,000.

Actuarial gain is $8,000.

Average remaining service life of the employee base is 15 years.

c.

To determine

The value of closing balance of plan assets and PBO and indicate the funded status of the plan.

Given information:

Fair value of plan assets at the beginning is $600,000.

Value of PBO at the beginning is $558,000.

Service cost is $125,800.

Settlement rate is 12%.

Expected rate on plan assets is 9%.

Actual loss on plan assets is $30,100.

Contribution for the year is $45,700.

Benefit paid for the year is $97,440.

Accumulated comprehensive income at the beginning is $42,000.

Prior service cost is $19,690.

Amortization of prior service cost is $7,000.

Actuarial gain is $8,000.

Average remaining service life of the employee base is 15 years.

d.

To determine

The journal entry to record the pension cost.

Given information:

Fair value of plan assets at the beginning is $600,000.

Value of PBO at the beginning is $558,000.

Service cost is $125,800.

Settlement rate is 12%.

Expected rate on plan assets is 9%.

Actual loss on plan assets is $30,100.

Contribution for the year is $45,700.

Benefit paid for the year is $97,440.

Accumulated comprehensive income at the beginning is $42,000.

Prior service cost is $19,690.

Amortization of prior service cost is $7,000.

Actuarial gain is $8,000.

Average remaining service life of the employee base is 15 years.

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Answer 3

Question

Chapter 19, Problem 19.10E

a.

To determine

The treatment of separate conceptual entries for the preceding information as per IFRS.

Giveninformation:

Fair value of plan assets at the beginning is $600,000.

Value of PBO at the beginning is $558,000.

Service cost is $125,800.

Settlement rate is 12%.

Expected rate on plan assets is 9%.

Actual loss on plan assets is $30,100.

Contribution for the year is $45,700.

Benefit paid for the year is $97,440.

Accumulated comprehensive income at the beginning is $42,000.

Prior service cost is $19,690.

Amortization of prior service cost is $7,000.

Actuarial gain is $8,000.

Average remaining service life of the employee base is 15 years.

b.

To determine

The value of total pension cost for the year as per IFRS.

Given information:

Fair value of plan assets at the beginning is $600,000.

Value of PBO at the beginning is $558,000.

Service cost is $125,800.

Settlement rate is 12%.

Expected rate on plan assets is 9%.

Actual loss on plan assets is $30,100.

Contribution for the year is $45,700.

Benefit paid for the year is $97,440.

Accumulated comprehensive income at the beginning is $42,000.

Prior service cost is $19,690.

Amortization of prior service cost is $7,000.

Actuarial gain is $8,000.

Average remaining service life of the employee base is 15 years.

c.

To determine

The value of closing balance of plan assets and PBO and indicate the funded status of the plan.

Given information:

Fair value of plan assets at the beginning is $600,000.

Value of PBO at the beginning is $558,000.

Service cost is $125,800.

Settlement rate is 12%.

Expected rate on plan assets is 9%.

Actual loss on plan assets is $30,100.

Contribution for the year is $45,700.

Benefit paid for the year is $97,440.

Accumulated comprehensive income at the beginning is $42,000.

Prior service cost is $19,690.

Amortization of prior service cost is $7,000.

Actuarial gain is $8,000.

Average remaining service life of the employee base is 15 years.

d.

To determine

The journal entry to record the pension cost.

Given information:

Fair value of plan assets at the beginning is $600,000.

Value of PBO at the beginning is $558,000.

Service cost is $125,800.

Settlement rate is 12%.

Expected rate on plan assets is 9%.

Actual loss on plan assets is $30,100.

Contribution for the year is $45,700.

Benefit paid for the year is $97,440.

Accumulated comprehensive income at the beginning is $42,000.

Prior service cost is $19,690.

Amortization of prior service cost is $7,000.

Actuarial gain is $8,000.

Average remaining service life of the employee base is 15 years.

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Answer 4

Question

Chapter 19, Problem 19.10E

a.

To determine

The treatment of separate conceptual entries for the preceding information as per IFRS.

Giveninformation:

Fair value of plan assets at the beginning is $600,000.

Value of PBO at the beginning is $558,000.

Service cost is $125,800.

Settlement rate is 12%.

Expected rate on plan assets is 9%.

Actual loss on plan assets is $30,100.

Contribution for the year is $45,700.

Benefit paid for the year is $97,440.

Accumulated comprehensive income at the beginning is $42,000.

Prior service cost is $19,690.

Amortization of prior service cost is $7,000.

Actuarial gain is $8,000.

Average remaining service life of the employee base is 15 years.

b.

To determine

The value of total pension cost for the year as per IFRS.

Given information:

Fair value of plan assets at the beginning is $600,000.

Value of PBO at the beginning is $558,000.

Service cost is $125,800.

Settlement rate is 12%.

Expected rate on plan assets is 9%.

Actual loss on plan assets is $30,100.

Contribution for the year is $45,700.

Benefit paid for the year is $97,440.

Accumulated comprehensive income at the beginning is $42,000.

Prior service cost is $19,690.

Amortization of prior service cost is $7,000.

Actuarial gain is $8,000.

Average remaining service life of the employee base is 15 years.

c.

To determine

The value of closing balance of plan assets and PBO and indicate the funded status of the plan.

Given information:

Fair value of plan assets at the beginning is $600,000.

Value of PBO at the beginning is $558,000.

Service cost is $125,800.

Settlement rate is 12%.

Expected rate on plan assets is 9%.

Actual loss on plan assets is $30,100.

Contribution for the year is $45,700.

Benefit paid for the year is $97,440.

Accumulated comprehensive income at the beginning is $42,000.

Prior service cost is $19,690.

Amortization of prior service cost is $7,000.

Actuarial gain is $8,000.

Average remaining service life of the employee base is 15 years.

d.

To determine

The journal entry to record the pension cost.

Given information:

Fair value of plan assets at the beginning is $600,000.

Value of PBO at the beginning is $558,000.

Service cost is $125,800.

Settlement rate is 12%.

Expected rate on plan assets is 9%.

Actual loss on plan assets is $30,100.

Contribution for the year is $45,700.

Benefit paid for the year is $97,440.

Accumulated comprehensive income at the beginning is $42,000.

Prior service cost is $19,690.

Amortization of prior service cost is $7,000.

Actuarial gain is $8,000.

Average remaining service life of the employee base is 15 years.

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Answer 5

Chapter 19, Problem 19.10E

a.

To determine

The treatment of separate conceptual entries for the preceding information as per IFRS.

Giveninformation:

Fair value of plan assets at the beginning is $600,000.

Value of PBO at the beginning is $558,000.

Service cost is $125,800.

Settlement rate is 12%.

Expected rate on plan assets is 9%.

Actual loss on plan assets is $30,100.

Contribution for the year is $45,700.

Benefit paid for the year is $97,440.

Accumulated comprehensive income at the beginning is $42,000.

Prior service cost is $19,690.

Amortization of prior service cost is $7,000.

Actuarial gain is $8,000.

Average remaining service life of the employee base is 15 years.

b.

To determine

The value of total pension cost for the year as per IFRS.

Given information:

Fair value of plan assets at the beginning is $600,000.

Value of PBO at the beginning is $558,000.

Service cost is $125,800.

Settlement rate is 12%.

Expected rate on plan assets is 9%.

Actual loss on plan assets is $30,100.

Contribution for the year is $45,700.

Benefit paid for the year is $97,440.

Accumulated comprehensive income at the beginning is $42,000.

Prior service cost is $19,690.

Amortization of prior service cost is $7,000.

Actuarial gain is $8,000.

Average remaining service life of the employee base is 15 years.

c.

To determine

The value of closing balance of plan assets and PBO and indicate the funded status of the plan.

Given information:

Fair value of plan assets at the beginning is $600,000.

Value of PBO at the beginning is $558,000.

Service cost is $125,800.

Settlement rate is 12%.

Expected rate on plan assets is 9%.

Actual loss on plan assets is $30,100.

Contribution for the year is $45,700.

Benefit paid for the year is $97,440.

Accumulated comprehensive income at the beginning is $42,000.

Prior service cost is $19,690.

Amortization of prior service cost is $7,000.

Actuarial gain is $8,000.

Average remaining service life of the employee base is 15 years.

d.

To determine

The journal entry to record the pension cost.

Given information:

Fair value of plan assets at the beginning is $600,000.

Value of PBO at the beginning is $558,000.

Service cost is $125,800.

Settlement rate is 12%.

Expected rate on plan assets is 9%.

Actual loss on plan assets is $30,100.

Contribution for the year is $45,700.

Benefit paid for the year is $97,440.

Accumulated comprehensive income at the beginning is $42,000.

Prior service cost is $19,690.

Amortization of prior service cost is $7,000.

Actuarial gain is $8,000.

Average remaining service life of the employee base is 15 years.

Answer 6

Chapter 19, Problem 19.10E

a.

To determine

The treatment of separate conceptual entries for the preceding information as per IFRS.

Giveninformation:

Fair value of plan assets at the beginning is $600,000.

Value of PBO at the beginning is $558,000.

Service cost is $125,800.

Settlement rate is 12%.

Expected rate on plan assets is 9%.

Actual loss on plan assets is $30,100.

Contribution for the year is $45,700.

Benefit paid for the year is $97,440.

Accumulated comprehensive income at the beginning is $42,000.

Prior service cost is $19,690.

Amortization of prior service cost is $7,000.

Actuarial gain is $8,000.

Average remaining service life of the employee base is 15 years.

Answer 7

Chapter 19, Problem 19.10E

a.

To determine

The treatment of separate conceptual entries for the preceding information as per IFRS.

Giveninformation:

Fair value of plan assets at the beginning is $600,000.

Value of PBO at the beginning is $558,000.

Service cost is $125,800.

Settlement rate is 12%.

Expected rate on plan assets is 9%.

Actual loss on plan assets is $30,100.

Contribution for the year is $45,700.

Benefit paid for the year is $97,440.

Accumulated comprehensive income at the beginning is $42,000.

Prior service cost is $19,690.

Amortization of prior service cost is $7,000.

Actuarial gain is $8,000.

Average remaining service life of the employee base is 15 years.

Answer 8

b.

To determine

The value of total pension cost for the year as per IFRS.

Given information:

Fair value of plan assets at the beginning is $600,000.

Value of PBO at the beginning is $558,000.

Service cost is $125,800.

Settlement rate is 12%.

Expected rate on plan assets is 9%.

Actual loss on plan assets is $30,100.

Contribution for the year is $45,700.

Benefit paid for the year is $97,440.

Accumulated comprehensive income at the beginning is $42,000.

Prior service cost is $19,690.

Amortization of prior service cost is $7,000.

Actuarial gain is $8,000.

Average remaining service life of the employee base is 15 years.

Answer 9

b.

To determine

The value of total pension cost for the year as per IFRS.

Given information:

Fair value of plan assets at the beginning is $600,000.

Value of PBO at the beginning is $558,000.

Service cost is $125,800.

Settlement rate is 12%.

Expected rate on plan assets is 9%.

Actual loss on plan assets is $30,100.

Contribution for the year is $45,700.

Benefit paid for the year is $97,440.

Accumulated comprehensive income at the beginning is $42,000.

Prior service cost is $19,690.

Amortization of prior service cost is $7,000.

Actuarial gain is $8,000.

Average remaining service life of the employee base is 15 years.

Answer 10

c.

To determine

The value of closing balance of plan assets and PBO and indicate the funded status of the plan.

Given information:

Fair value of plan assets at the beginning is $600,000.

Value of PBO at the beginning is $558,000.

Service cost is $125,800.

Settlement rate is 12%.

Expected rate on plan assets is 9%.

Actual loss on plan assets is $30,100.

Contribution for the year is $45,700.

Benefit paid for the year is $97,440.

Accumulated comprehensive income at the beginning is $42,000.

Prior service cost is $19,690.

Amortization of prior service cost is $7,000.

Actuarial gain is $8,000.

Average remaining service life of the employee base is 15 years.

Answer 11

c.

To determine

The value of closing balance of plan assets and PBO and indicate the funded status of the plan.

Given information:

Fair value of plan assets at the beginning is $600,000.

Value of PBO at the beginning is $558,000.

Service cost is $125,800.

Settlement rate is 12%.

Expected rate on plan assets is 9%.

Actual loss on plan assets is $30,100.

Contribution for the year is $45,700.

Benefit paid for the year is $97,440.

Accumulated comprehensive income at the beginning is $42,000.

Prior service cost is $19,690.

Amortization of prior service cost is $7,000.

Actuarial gain is $8,000.

Average remaining service life of the employee base is 15 years.

Answer 12

d.

To determine

The journal entry to record the pension cost.

Given information:

Fair value of plan assets at the beginning is $600,000.

Value of PBO at the beginning is $558,000.

Service cost is $125,800.

Settlement rate is 12%.

Expected rate on plan assets is 9%.

Actual loss on plan assets is $30,100.

Contribution for the year is $45,700.

Benefit paid for the year is $97,440.

Accumulated comprehensive income at the beginning is $42,000.

Prior service cost is $19,690.

Amortization of prior service cost is $7,000.

Actuarial gain is $8,000.

Average remaining service life of the employee base is 15 years.

Answer 13

d.

To determine

The journal entry to record the pension cost.

Given information:

Fair value of plan assets at the beginning is $600,000.

Value of PBO at the beginning is $558,000.

Service cost is $125,800.

Settlement rate is 12%.

Expected rate on plan assets is 9%.

Actual loss on plan assets is $30,100.

Contribution for the year is $45,700.

Benefit paid for the year is $97,440.

Accumulated comprehensive income at the beginning is $42,000.

Prior service cost is $19,690.

Amortization of prior service cost is $7,000.

Actuarial gain is $8,000.

Average remaining service life of the employee base is 15 years.

Answer 14

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Answer 15

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Answer 16

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Answer 17

Ch. 19 - What is the allocation period used to expense...Ch. 19 - How do companies account for stock-based...Ch. 19 - Do companies with equity-based compensation plans...Ch. 19 - When accounting for employee stock options, will a...Ch. 19 - Prob. 19.5Q Ch. 19 - Prob. 19.6Q Ch. 19 - Prob. 19.7Q Ch. 19 - Prob. 19.8Q Ch. 19 - Prob. 19.9Q Ch. 19 - Prob. 19.10Q

Solution Summary: The author explains journalizing as the process of recording the transactions of an organization in a chronological order.

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