Question text Dickson Manufacturing Corp., a company reporting under IFRS, has a defined benefit pension plan. Pension information concerning the 2020 fiscal year is presented below (in millions): Information provided by the pension plan trustee Fair value of plan assets, January 1, 2020 $1,600 Actual return on plan assets, 2020 224 The discount rate used in actuarial assumptions is 10%. What is the balance of the plan assets as at December 31, 2020? Select one: 17 а. $1,664 b. $1,824
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- Computing Pension Expense, Gain/Loss Amortization, PBO, and Plan Asset Balances The following data relate to a defined benefit pension plan for Hollistir Co. Fair value of plan assets, Jan. 1, 2020 $9,600 PBO Jan. 1, 2020, not including any items below 12,000 PSC from amendment dated Jan. 1, 2020, (10 years is the amortization period) 6,000 Gain from change in actuarial assumptions, computed as of Jan. 1, 2020 1,800 Actual return on plan assets, 2020 1,200 Contributions to plan assets in 2020 2,400 Benefits paid to retirees in 2020 3,000 Service cost for 2020 5,400 Discount rate 8% Expected rate of return on plan assets 10% Required a. Compute pension expense for 2020. Hollistir amortizes the full pension gain/loss over average service life of 15 years, using the straight-line method. Pension expense, 2020 b. Compute PBO at December 31, 2020. PBO, Dec. 31, 2020 c. Compute fair value of plan assets at December 31, 2020. Fair…Current Attempt in Progress The actuary for the pension plan of Bridgeport Inc. calculated the following net gains and losses. Incurred during the Year 2020 2021 2022 2023 As of January 1, Other information about the company's pension obligation and plan assets is as follows. 2020 2021 2022 2023 2020 2021 2022 2023 Projected Benefit Obligation Save for Later (Gain) or Loss $298,100 478,900 $ (210,400) (288,600) Year Minimum Amortization of (Gain) Loss $ Bridgeport Inc. has a stable labor force of 400 employees who are expected to receive benefits under the plan. The total service-years for all participating employees is 4,800. The beginning balance of accumulated OCI (G/L) is zero on January 1, 2020. The market- related value and the fair value of plan assets are the same for the 4-year period. Use the average remaining service life per employee as the basis for amortization. $ Compute the minimum amount of accumulated OCI (G/L) amortized as a component of net periodic pension expense…The following information is available for the pension pan of Ivanhoe Company for the year 2020. Actual and expected return on plan assets Benefits paid to retirees Contributions (funding) Interest/discount rate Prior service cost amortization Projected benefit obligation, January 1, 2020 Service cost (a) Your answer is correct. Compute pension expense for the year 2020. Pension expense for 2020 eTextbook and Medial List of Accounts $ $13.800 36,600 88,000 11 % 7,900 502,000 59,000 108320
- Question text Net interest cost is a component of pension expense under IFRS. How is net interest cost calculated? Select one: а. Interest expense on the defined benefit obligation (DBO), net of expected interest income earned on plan assets. b. The increase in the DBO over the period, net of the increase in the plan assets over the period. С. Interest expense on the DBO, net of actual interest income earned on plan assets. d. The increase in the DBO over the period, net of the increase in the plan assets over the period.rane importers provides the following pension plan Fair value of pension plan assets, January 1, 2025 Fair value of pension plan assets, December 31, 2025 Contributions to the plan in 2025 Benefits paid retirees in 2025 Tormation. Actual return on plan assets for 2025 $ $2,575,000 2,914,000 299,000 366,000 From the data above, compute the actual return on the plan assets for 2025.Determine the missing amounts in the 2020 pension worksheet, indicating whether the amounts are debits or credits. (Enter all amounts as positive.) Pension Worksheet—Riverbed Inc. General Journal Entries Memo Record Annual PensionExpense Cash OCI—PriorService Cost OCI—Gain/Loss Pension Asset/Liability Projected BenefitObligation PlanAssets Balance, Jan. 1, 2020 $1,298 Cr. $3,304 $2,006 Service cost $ 590 Interest cost 330…
- The pension worksheet for Pharoah Company is shown below. Pharoah Company Items Balance, Jan. 1, 2025 Pension Worksheet General Journal Entries Memo Record Annual Pension Expense Pension Asset/ Projected Benefit Plan Cash Liability Obligation Assets ?? $184000 cr $137000 dr (a) Service Cost $52000 dr (b) Interest Cost 32000 dr (c) Actual Return 29000 cr (d) Contributions $57000 cr 57000 dr (e) Benefits 27000 dr 27000 cr Journal Entry for 2025 $55000 dr $57000 cr Balance, Dec. 31, 2025 ?? $211000 $167000 What is the Pension Asset/Liability balance on January 1, 2025? $44000 Liability $89000 Liability O $47000 Liability O $47000 AssetDetermining Pension Expense The following information pertains to Qdobe Corporation’s defined benefit pension plan for 2020. Service cost $512,000 Actual and expected gain on plan assets 112,000 Actuarial loss on PBO incurred during 2020 128,000 Amortization of unrecognized prior service cost 16,000 Annual interest on pension obligation 160,000 What amount should Qdobe report as pension expense in its 2020 income statement? Assume no beginning balance in Accumulated OCI—Pension Gain/Loss. Pension expense, 2020A partial pension worksheet for Sunland Corporation is shown below. Items Balance, Jan. 1, 2025 (a) Service Cost (b) Interest Cost (c) Actual Return (d) Contributions (e) Benefits Journal Entry for 2025 Balance, Dec. 31, 2025 Annual Pension Expense The service cost for 2025 is ?? General Journal Entries $69000 dr 28000 dr 29000 cr Sunland Corporation Pension Worksheet Cash $69000 cr ?? Pension Asset/ Liability $- ?? Memo Record Projected Benefit Obligation $128000 cr $128000 dr ?? Plan Assets ??
- Analyzing and Interpreting Pension Disclosures DowDuPoint's 10-K report has the following disclosures related to its retirement plans ($ millions). Obligations and Funded Status ($ millions) December 31, 2018 Change in projected benefit obligations Benefit obligations at beginning of year $57,401 Service cost 651 Interest cost 1,638 Plan participants' contributions 29 Acturarial changes in assumptions and experience (2,832) Benefits paid (3,223) Plan amendments 34 Acquisitions/divestitures/other (57) Effect of foreign exchange rates (627) Benefit obligation at end of year $53,014 Change in plan assets Fair value of plan assets at beginning of year $43,685 Actual gain on plan assets (1,524) Employer contributions 2,964 Plan participants' contributions 29 Benefits paid (3,223) Acquisitions/divestitures/other (7) Effect of foreign exchange rates (462) Fair value of plan assets at end of year $41,462 Funded status U.S. plan with plan assets…1. Compute 2022 net periodic pension expense. The 2022 records of MPS Company provided the following data related to its noncontributory, defined benefit pension plan (amounts in PO00s): a. Accumulated benefit obligation (report of actuary) Beginning balance P3,000 Service cost 1,200 Interest cost 240 Pension benefits paid Ending balance (400) P4,040 Discount rate used by actuary, 8% b. Plan assets at fair value (report of trustee): Beginning balance Actual return on plan assets Contributions P2,400 168 1,016 (400) Pension benefits paid Ending balance Р3,192 Expected long-term rate of return of plan assets, 7% c. January 1, 2022, balance of unrecognized prior service cost, gains and losses, and transaction cost, zero.Pension Question Sophia Consultants Inc. has had a defined benefit pension plan since January 1, 2018. The following represents beginning balances as at January 1, 2022: Plan Asset $1,155,300; Defined Benefit Obligation $1,275,000; Net Pension Liability $119,700 Additional Information is as follows for 2022: Current Service cost is $186,000 for 2022 Company Funding/Contribution is $200,000 for 2022. Funding is made on December 31 of each year. Actual return on assets is $55,900 for 2022. There is an increase in obligation for $29,000 due to changes in Actuarial assumptions at Dec 31, 2022. There are payments made equal to $80,000 per year to retired employees in 2022 (payments to retirees are made at the end of the year on December 31). Past service cost of $85,900 from plan amendment dated December 31, 2022: liability is increased because benefits were increased on a retroactive basis. For 2022, the assumed interest rate is 6%. Assume IFRS. Required: 1. Determine Defined Benefit…