Concept explainers
a.
The value of total pension cost for the year.
Given information:
Fair value of plan assets at the beginning is $954,500.
Value of PBO at the beginning is $1,020,340.
Service cost is $81,500.
Settlement rate is 10%.
Expected rate on plan assets is 16%.
Actual return on plan assets is $123,400.
Contribution for the year is $67,480.
Benefit paid for the year is $47,440.
AOCI related to prior service cost at the beginning is $65,840.
Amortization of prior service cost is $15,500.
Actuarial loss is $78,625.
Average remaining service life of the employee base is 10 years.
b.
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 $954,500.
Value of PBO at the beginning is $1,020,340.
Service cost is $81,500.
Settlement rate is 10%.
Expected rate on plan assets is 16%.
Actual return on plan assets is $123,400.
Contribution for the year is $67,480.
Benefit paid for the year is $47,440.
AOCI related to prior service cost at the beginning is $65,840.
Amortization of prior service cost is $15,500.
Actuarial loss is $78,625.
Average remaining service life of the employee base is 10 years.
c.
The value of closing balance for accumulated other comprehensive income.
Given information:
Fair value of plan assets at the beginning is $954,500.
Value of PBO at the beginning is $1,020,340.
Service cost is $81,500.
Settlement rate is 10%.
Expected rate on plan assets is 16%.
Actual return on plan assets is $123,400.
Contribution for the year is $67,480.
Benefit paid for the year is $47,440.
AOCI related to prior service cost at the beginning is $65,840.
Amortization of prior service cost is $15,500.
Actuarial loss is $78,625.
Average remaining service life of the employee base is 10 years.
d.
To prepare: The
Given information:
Fair value of plan assets at the beginning is $954,500.
Value of PBO at the beginning is $1,020,340.
Service cost is $81,500.
Settlement rate is 10%.
Expected rate on plan assets is 16%.
Actual return on plan assets is $123,400.
Contribution for the year is $67,480.
Benefit paid for the year is $47,440.
AOCI related to prior service cost at the beginning is $65,840.
Amortization of prior service cost is $15,500.
Actuarial loss is $78,625.
Average remaining service life of the employee base is 10 years.
e.
The reconciliation of the closing balance in accumulated other comprehensive income.
Given information:
Fair value of plan assets at the beginning is $954,500.
Value of PBO at the beginning is $1,020,340.
Service cost is $81,500.
Settlement rate is 10%.
Expected rate on plan assets is 16%.
Actual return on plan assets is $123,400.
Contribution for the year is $67,480.
Benefit paid for the year is $47,440.
AOCI related to prior service cost at the beginning is $65,840.
Amortization of prior service cost is $15,500.
Actuarial loss is $78,625.
Average remaining service life of the employee base is 10 years.
Want to see the full answer?
Check out a sample textbook solution
Chapter 19 Solutions
Intermediate Accounting Plus Mylab Accounting With Pearson Etext -- Access Card Package (2nd Edition)
- The balance sheets of Davidson Corporation reported net fixed assets of $830,000 at the end of Year 1 and $560,000 at the end of Year 2. Net sales for Year 2 totaled $1,890,000. What is the fixed-asset turnover ratio for Year 2?arrow_forwardSub. GENERAL ACCOUNTarrow_forwardThe total assets and total liabilities (in millions) of Keurig Green Mountain, Inc. and Starbucks Corporation follow: Assets Keurig Green Mountain Starbucks $5,050 Liabilities $1,758 $13,460 $7,328 Determine the owners' equity of each company.arrow_forward
- What will be the per unit cost of the app if the company sells?arrow_forwardHi expert please give me answer general accountingarrow_forwardA firm had fixed assets of $16,000 at the beginning of the year and $19,000 at the end of the year. You also know that the firm sold $7,000 in fixed assets over the year. How much in fixed assets must they have purchased?arrow_forward
Intermediate Accounting: Reporting And AnalysisAccountingISBN:9781337788281Author:James M. Wahlen, Jefferson P. Jones, Donald PagachPublisher:Cengage Learning