The following data is available for Mustang Company's defined benefit plan for the year 2019: Benefit obligation, January 1 Fair value of plan assets, January 1 Current service cost Discount rate Benefits paid to retirees Contribution to the plan Actual return on plan assets Decrease in benefit obligation due to remeasurements Past service cost Final settlement payments Present value of settled benefit obligation P 10,500,000 11,600,000 3,100,000 12% 1,800,000 2,450,000 1,500,000 400,000 500,000 470,000 550,000

The following data is available for Mustang Company's defined benefit plan for the year 2019: Benefit obligation, January 1 Fair value of plan assets, January 1 Current service cost Discount rate Benefits paid to retirees Contribution to the plan Actual return on plan assets Decrease in benefit obligation due to remeasurements Past service cost Final settlement payments Present value of settled benefit obligation P 10,500,000 11,600,000 3,100,000 12% 1,800,000 2,450,000 1,500,000 400,000 500,000 470,000 550,000

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 4E

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