On January 1, 2020, McGee Co. had the following balances:          Projected benefit obligation                                          $6,400,000          Fair value of plan assets                                                    6,000,000    Other data related to the pension plan for 2

FINANCIAL ACCOUNTING
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ISBN:9781259964947
Author:Libby
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Chapter1: Financial Statements And Business Decisions
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On January 1, 2020, McGee Co. had the following balances:

         Projected benefit obligation                                          $6,400,000

         Fair value of plan assets                                                    6,000,000

   Other data related to the pension plan for 2020:

         contributions to the plan                                                      400,000

         Benefits paid                                                                             350,000

        On 1/1/2020, prior service cost was granted  having

           a present value of                                                                 150,000

         Actual return on plan assets                                                  430,000

         Settlement rate                                                                          9%

         Expected rate of return                                                              7%

         Amortized Prior Service cost                                                     40,000

         Amortization of net gain                                                             50,000

         Service cost                                                                                  250,000

  In the journal to record pension expense, the Pension Asset/Liability account is credited for

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