Homework Help is Here – Start Your Trial Now!
Business
Accounting
Compute for the following: 1. Total pension expense (2021) 2. Pension Expense recognized in 2021 profit or loss 3. Pension Expense recognized in 2021 other comprehensive income or loss 4. Prepaid (accrued) pension expenses - 12/31/21

Compute for the following: 1. Total pension expense (2021) 2. Pension Expense recognized in 2021 profit or loss 3. Pension Expense recognized in 2021 other comprehensive income or loss 4. Prepaid (accrued) pension expenses - 12/31/21

Intermediate Accounting: Reporting And Analysis
Intermediate Accounting: Reporting And Analysis
3rd Edition
ISBN:9781337788281
Author:James M. Wahlen, Jefferson P. Jones, Donald Pagach
Publisher:James M. Wahlen, Jefferson P. Jones, Donald Pagach
Chapter19: Accounting For Post Retirement Benefits
Section: Chapter Questions
Problem 6RE
See similar textbooks
icon
Related questions
Question

Compute for the following:
1. Total pension expense (2021)
2. Pension Expense recognized in 2021 profit or loss
3. Pension Expense recognized in 2021 other comprehensive income or loss
4. Prepaid (accrued) pension expenses - 12/31/21

The following selected post-retirement benefit accounts were lifted from the 2021 unadjusted trial balance of EMM Corp. No adjusting entry had been made yet at year end in relation to the post- retirement benefits related accounts. Prepaid Pension Expense, January 1, 2021 Pension expense for 2021, amount contributed to the plan P 493,900 P 500,000 Additional information: The memorandum account balances and other off-books transactions are as follows: Plan asset at fair market value, January 1, 2021 Accumulated benefit obligation at present value, January 1, 2021 Payments to retirees at scheduled retirement in 2021 Payments to early retirees (settlement price) in 2021 Carrying value of accrued benefits of early retirees in 2021 3,245,400 P 2,751,500 P 350,000 P 300,000 P 220,000 P 535,000 P 275,000 12% Current service cost Past service cost recognized in the current year Settlement rate Plan asset at fair market value, December 31, 2021 Accumulated benefit obligation at present value, December 31, 2021 P 3,852,10o P 3,569,900 There had been no remeasurement (actuarial) gain or loss from plan asset and accumulated retirement obligation in the prior years.
Transcribed Image Text:The following selected post-retirement benefit accounts were lifted from the 2021 unadjusted trial balance of EMM Corp. No adjusting entry had been made yet at year end in relation to the post- retirement benefits related accounts. Prepaid Pension Expense, January 1, 2021 Pension expense for 2021, amount contributed to the plan P 493,900 P 500,000 Additional information: The memorandum account balances and other off-books transactions are as follows: Plan asset at fair market value, January 1, 2021 Accumulated benefit obligation at present value, January 1, 2021 Payments to retirees at scheduled retirement in 2021 Payments to early retirees (settlement price) in 2021 Carrying value of accrued benefits of early retirees in 2021 3,245,400 P 2,751,500 P 350,000 P 300,000 P 220,000 P 535,000 P 275,000 12% Current service cost Past service cost recognized in the current year Settlement rate Plan asset at fair market value, December 31, 2021 Accumulated benefit obligation at present value, December 31, 2021 P 3,852,10o P 3,569,900 There had been no remeasurement (actuarial) gain or loss from plan asset and accumulated retirement obligation in the prior years.
Expert Solution
steps

Step by step

Solved in 6 steps with 3 images

SEE SOLUTIONCheck out a sample Q&A here
Blurred answer
Knowledge Booster
Accounting for Employee Compensations and Benefits
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.
Similar questions
  • SEE MORE QUESTIONS
Recommended textbooks for you
Intermediate Accounting: Reporting And Analysis
Intermediate Accounting: Reporting And Analysis
Accounting
ISBN:
9781337788281
Author:
James M. Wahlen, Jefferson P. Jones, Donald Pagach
Publisher:
Cengage Learning
Financial Reporting, Financial Statement Analysis…
Financial Reporting, Financial Statement Analysis…
Finance
ISBN:
9781285190907
Author:
James M. Wahlen, Stephen P. Baginski, Mark Bradshaw
Publisher:
Cengage Learning
PAYROLL ACCT., 2019 ED.(LL)-TEXT
PAYROLL ACCT., 2019 ED.(LL)-TEXT
Accounting
ISBN:
9781337619783
Author:
BIEG
Publisher:
CENGAGE L
SEE MORE TEXTBOOKS