Chapter 20, Problem 8P

To determine

Pension: A fixed sum of money, receivable in future or after the age of retirement, which the beneficiary has invested during the period of employment is termed as pension. This pension is mostly offered to government, public sector and some private sector employees.

Pension worksheet: A document which is created to record the pension-related details like benefits paid, contribution made and the amount of investment made out of the contribution is termed as pension worksheet. It is generally prepared as columns with pension details.

(a)

To determine the pension expense using pension worksheet.

To determine

(b)

To determine and record the pension expense of 2017 and 2018.

To determine

(c)

To determine and record the pension-related amounts in the financial statements 2018.