On January 1 2025 strott company had a projected benefit obligation of 3,000,000. the company amended its defined benefit plan which resulted in an increase to prior service costs of 800,000 on January 1 2025. the discount rate is 8%. when interest is calculated on the projected benefit obligation in 2025, what is the journal entry?
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On January 1 2025 strott company had a projected benefit obligation of 3,000,000. the company amended its defined benefit plan which resulted in an increase to prior service costs of 800,000 on January 1 2025. the discount rate is 8%. when interest is calculated on the projected benefit obligation in 2025, what is the
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- On January 1 2025 strott company had a projected benefit obligation of 3,000,000. the company amended its defined benefit plan which resulted in an increase to prior service costs of 800,000 on January 1 2025. the discount rate is 8%. when interest is calculated on the projected benefit obligation in 2025, what is the journal entry? A DR to pension expense $64,000 B debit to pension expense $304,000 C credit to projected benefit obligation $64,000 D credit to projected benefit obligation $304,000 E credit to other comprehensive income $64,000 F credit to other comprehensive income $304,000Elton Co. has the following postretirement benefit plan balances on January 1, 2020. Accumulated postretirement benefit obligation $2,250,000 Fair value of plan assets 2,250,000 The interest (settlement) rate applicable to the plan is 10%. On January 1, 2021, the company amends the plan so that prior service costs of $175,000 are created. Other data related to the plan are: 2020 2021 Service costs $ 75,000 $ 85,000 Prior service costs amortization -0- 12,000 Contributions (funding) to the plan 45,000 35,000 Benefits paid 40,000 45,000 Actual return on plan assets 140,000 120,000 Expected rate of return on assets 8% 6% Instructions Prepare a worksheet for the postretirement plan in 2020. Prepare any journal entries related to the postretirement plan that would be needed at December 31, 2020. Prepare a worksheet for 2021 and any journal entries related to the postretirement plan as of December 31, 2021. Indicate the postretirement-benefit-related…At January 1, 2019, XYZ Company had plan assets of €250,000 and a defined benefit obligation of the same amount. During 2019, service cost was €27,500, the discount rate was 10%, actual and expected return on plan assets were €25,000, contributions were €20,000, and benefits paid were €17,500. Based on this information what would be the defined benefit obligation for XYZ Company for 2019? Select one: a. €27,500 b. €285,000 c. €277,500 d. €302,500
- A company's postretirement health care benefit plan had an APBO of $265,000 on January 1, 2018. During 2018, retiree benefits paid were $40,000. The discount rate for the plan for this year was 10%. Service cost for 2018 was $80,000. Plan assets (fair value) increased during the year by $45,000. The amount of the APBO at December 31, 2018, was: a. $305,000 b. $371,500 c.$225,000 d.$331,500At January 1, 2019, Jolly Company had plan assets of P2, 800,000 and a projected benefit obligation of the same amount. During 2019, service cost was P275,000, the settlement rate was 10%, actual and expected return on plan assets were P250,000, contributions were P200,000, and benefits paid were P175,000. Prepare a pension worksheet for Jolly Company for 2019.At January 1, 2020, Wembley Company had plan assets of $250,000 and a defined benefit obligation of the same amount. During 2020, service cost was $27,500, the discount rate was 10%, actual return on plan assets was $25,000, contributions were $20,000, and benefits paid were $17,500. Based on this information, what would be the defined benefit obligation for Wembley Company at December 31, 2020? a. $277,500. b. $285,000. c. $27,500. d. $302,500.
- At January 1, 2020, Cullumber Company had plan assets of $305,800 and a projected benefit obligation of the same amount. During 2020, service cost was $27,100, the settlement rate was 10%, actual and expected return on plan assets were $24,900, contributions were $20,200, and benefits paid were $17,300.Prepare a pension worksheet for Cullumber Company for 2020. CULLUMBER COMPANY General Journal Entries Memo Record Items PensionExpense Cash PensionAsset/Liability ProjectedBenefitObligation PlanAssets 1/1/20 $enter a dollar amount select a debit or credit $enter a dollar amount select a debit or credit $enter a dollar amount select a debit or credit $enter a dollar amount select a debit or credit…On January 1, 2021, Medical Transport Company’s accumulated postretirement benefit obligation was $25 million. At the end of 2021, retiree benefits paid were $3 million. Service cost for 2021 is $7 million. Assumptions regarding the trend of future health care costs were revised at the end of 2021, causing the actuary to revise downward the estimate of the APBO by $1 million. The actuary’s discount rate is 8%. Determine the amount of the accumulated postretirement benefit obligation at December 31, 2021.On January 1, 2020, Blue team Company has a Benefit Plan Obligation worth 20,000,000. The actuaries during that time estimated that the accrued benefit cost in connection to the BPO is 2,000,000 from a plan asset designated to pay the retirees. During the year, this plan asset have been invested in various financial activities and had an actual returns worth 3000,000. The discount rate is 10% for both plan asset and PBO. Due to difference in actuarial assumptions, the Projected Benefit Obligation decreased by an amount worth 500,000 at the end of the year. how much is the net remeasurement gain/loss at the end of the year? (no negative answers neither gain nor loss)
- At January 1, 2020, HH Company had plan assets of P250,000 and a defined benefit obligation of the same amount. During 2020, service cost was P27,500, the discount rate was 10%, actual and expected return on plan assets were P25,000, contributions were P20,000, and benefits paid were P17,500. Based on this information what would be the defined benefit obligation for HH Company for 2020?The following information related to the Postretirement Benefits (health) for the Union Company on 12/31/2020: Expected postretirement Benefits Obligation (EPBO) $ 800,000, and the Accumulated Postretirement Benefits Obligation (APBO) is $400,000. Attribution period 20 years. Number of years employees worked to date 10 years. Interest rate 10%. Required: a. Calculate the EPBO at end of 2021. b. Calculate accumulated postretirement benefits (APBO) for 2021. c. Analyze the increase in 2021 APBO.At January 1, 2020, Hennein Company had plan assets of $280,000 and a projected benefit obligation of the same amount. During 2020, service cost was $27,500, the settlement rate was 10%, actual and expected return on plan assets were $25,000, contributions were $20,000, and benefits paid were $17,500. Prepare a pension worksheet for Hennein Company for 2020. HENNEIN COMPA General Journal Entries Pension Items Expense Cash 1/1/20 Service cost Interest cost Actual return Contributions Benefits $ Journal entry, 12/31/20 Balance, 12/31/20 %24 %24 %24 %24 %24