Selected information about the pension plan of Crane Co. is as follows: 12/31/20 12/31/21Accumulated benefit obligation $4,830,000 $5,060,000Projected benefit obligation 5,080,000 5,280,000Accumulated OCI (PSC) 2,008,000 1,630,000Fair value of plan assets 4,815,000 5,080,000Pension expense 1,130,000 1,830,000Contribution 1,115,000 1,415,000Discount rate (for year) 9% 8%(a)What is the corridor for 2021?Corridor for 2021 $ b,cakulate the pension asset/liability at december 31,2021pension $ c.prepare the entry for 2021to record the pension

(a) What is the corridor for 2021 0.10 × $5,080,000= $508,000 0.10 × $4,815,000 = $48,1500 The…

Selected information about the pension plan of Crane Co. is as follows: 12/31/20 12/31/21 Accumulated benefit obligation $4,830,000 $5,060,000 Projected benefit obligation 5,080,000 5,280,000 Accumulated OCI (PSC) 2,008,000 1,630,000 Fair value of plan assets

Selected information about the pension plan of Crane Co. is as follows: 12/31/20 12/31/21 Accumulated benefit obligation $4,830,000 $5,060,000 Projected benefit obligation 5,080,000 5,280,000 Accumulated OCI (PSC) 2,008,000 1,630,000 Fair value of plan assets

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 6MC

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Concept explainers

Employee Benefits

In an organization employees are the most important resource and most important asset. They can lead an organization to the sky or can be the reason for unsuccessful of business. Therefore, it is very much important that employees of an organization should be satisfied by the environment of the organization and most importantly with the salary, wages incentives, etc.

Question

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Selected information about the pension plan of Crane Co. is as follows:

	12/31/20	12/31/21
Accumulated benefit obligation	$4,830,000	$5,060,000
Projected benefit obligation	5,080,000	5,280,000
Accumulated OCI (PSC)	2,008,000	1,630,000
Fair value of plan assets	4,815,000	5,080,000
Pension expense	1,130,000	1,830,000
Contribution	1,115,000	1,415,000
Discount rate (for year)	9%	8%

(a)

What is the corridor for 2021?

Corridor for 2021

b,cakulate the pension asset/liability at december 31,2021

pension $

c.prepare the entry for 2021to record the pension

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