The following facts apply to the pension plan of Trudy Borke Inc. for the year 20X1: Plan assets, January 1 20X1 $490,000 Projected benefit obligation January 1 20X1 490,000 Settlement rate 8.5% Annual pension service cost 40,000 Contributions (funding) 30,000 Actual return on plan assets 49,700 Benefits paid to retirees 33,400 What is the pension expense for 20X1?
Q: U.S. Metallurgical Inc. reported the following balances in its financial statements and disclosure…
A: Note: Since we only answer up to 3 sub-parts, we’ll answer the first 3. Please resubmit the question…
Q: Tamarisk Company provides the following information about its defined benefit pension plan for the…
A: Working note 1:
Q: Goldman Company has a defined benefit pension plan. The following pension-related data were…
A: 1) Service cost 31,000 Interest cost 11,500 Return on plan assets -21,500…
Q: Pension data for the Ben Franklin Company include the following for the current calendar year:…
A: Journal: Recording of a business transactions in a chronological order.
Q: Burrito Corporation has a defined benefit pension plan. Burrito received the following information…
A: Pension refers to a fund that is paid to the employees at the time of retirement funded by the…
Q: The following information pertains to Havana Corporation's defined benefit pension plan: ($ in…
A: Service costs = Ending PBO - Interest costs + benefit paid to retirees - Beginning PBO where,…
Q: Gruber Enterprises started its defined benefit pension plan on January 1, Year 1. By the beginning…
A: Fair market value It is the price, an asset would be sold in an open market when certain covenants…
Q: A company's defined benefit pension plan had a projected benefit obligation (PBO) of $350,000 on…
A: Introduction: A projected benefit obligation (PBO) is the expected present value of an employee's…
Q: Plan assets, January 1 20X1 $490,000 Projected benefit obligation January 1 20X1 490,000…
A: Calculation of pension expense for 20X1 Pension expense = Service cost + Interest Cost - Actual…
Q: On January 1, 2020, Shaina company had a projected benefit obligation of 2,500,000 and a pension…
A: Pension expense= Service cost + Interest cost 300,000 + (2,500,000 -2,300,000)*9% = 300,000+…
Q: M Service Co. reported the following for its defined-benefit pension plan for 2020:…
A: A projected benefit obligation (PBO) is an actuarial measurement of what a company will need at the…
Q: The following information is related to the defined benefit pension plan of Dreamworld Company for…
A: Interest cost = PBO, January 1 x Discount rate = 900000 x 10% = $90,000
Q: The following information is related to the defined benefit pension plan of Havana for the year:…
A: Pension Expense for the year = Service Cost + Interest Cost - Expected Return on Plan Assets
Q: Pension data for Fahy Transportation Inc., include the following:…
A: Particulars Amount Plan assets (fair value), December 31 $750 million Add: Benefit payments to…
Q: The following facts apply to the pension plan of Boudreau Inc. for the year 2020. Plan assets,…
A: Prepare the pension worksheet:
Q: The following data are for the pension plan for the employees of Lockett Company 1/1/14 12/31/14…
A: Actual Returns - It is the amount of money earned by the company/individuals earn money putting its…
Q: ension data for Sam Adams Inc. include the following for the current calendar year: Discount rate,…
A: In this question, we have to calculate pension expenses.
Q: Bissell Company received the following reports of its defined benefit pension plan for the current…
A: PENSION EXPENSE FOR THE YEAR : = SERVICE COST + INTEREST COST -EXPECTED RATE OF RETURN ON PLAN…
Q: Scott Hobson Enterprises has a defined benefit pension plan. At the end of the reporting year, the…
A: Pension expense = Service cost + Interest cost + Expected return on plan assets
Q: The following defined pension data of Rydell Corp. apply to the year 2020. Projected benefit…
A: prepare a pension worksheet for Rydell Corp
Q: The following facts apply to the pension plan of Novak Inc. for the year 2020. Plan assets,…
A: Journal entry - It refers to the process where the business transactions are recorded in the books…
Q: M Service Co. reported the following for its defined-benefit pension plan for 2020:…
A: Introduction: A projected benefit obligation (PBO) is an economic assessment of how much money a…
Q: Horizon Inc. has a defined benefit pension plan. The following pension-related data were available…
A: Journal entries are to be reported to show the primary effect of transactions on account books of an…
Q: Riko Company had the following data related to its defined benefit pension plan: 1/1 Plan Assets…
A: In this question, we have been asked to calculate the ending balance of the pension fund. For which…
Q: The following information is related to the defined benefit pension plan of Dreamworld Company for…
A: Solution:- Given, The information is related to the defined benefit pension plan of Dreamworld…
Q: Assume the following pension data for year 2019: Service cost $105,000 Contribution $90,000 Actual…
A: Computation of Pension Expenses Service Cost $105,000 Interest Expenses (81,000- 70,000)…
Q: Blossom Company sponsors a defined benefit pension plan for its employees. The following data relate…
A: Pension worksheet is prepared by the companies for the recording of information related to the…
Q: The following facts apply to the pension plan of Teal Inc. for the year 2020. Plan assets, January…
A: Journal entry is a record of financial transactions in the books of accounts of a business. It…
Q: The following information is related to the defined benefit pension plan of Avalanche Corporation…
A: Expected return on Plan assets = Plan assets (fair value), January 1 x Long-term expected return on…
Q: Presented below is information related to the pension plan of Zimmer Inc. er the year 2018. The…
A: SOLUTION- A- DETERMINE THE PENSION EXPENSE TO BE REPORTED ON THE INCOME STATEMENT FOR 2018-…
Q: the warren groups pension expense is 78 million. the amount includes a 46 million service cost, a 60…
A:
Q: erizon Communications has a defined benefit pension plan with the following information: 2021…
A: Pension expenses is the amount that a business charges to expenses in relation to its liabilities…
Q: At the beginning of current year, Maximus Company had projected benefit obligation of P10,000,000…
A: Computation of Pension worksheet:
Q: Smith, Inc. has a pension plan with the following data available for 20X1 and 20X2: 20X1 20X2…
A: Correct option is (c) i.e The adjustment to OCI for loss from the return on plan assets for 20X1 is…
Q: The following information is related to the defined benefit pension plan of Xavier Company for 2012:…
A: A defined benefit plan, sometimes known as a pension plan, provides employees with guaranteed…
Q: Gretta's Emporium Corp. provides its employees with a defined benefit pension plan. The plan assets…
A: The reconciliation statement is as follows: Resultant table:
Q: Smith, Inc. has a pension plan with the following data available for 20X1 and 20X2: 20X1 20X2…
A: Expected return on plan assets for 20x2 = Beginning of year plan assets x Expected return on plan…
Q: Tesla, Inc. sponsors a defined-benefit pension plan. The following data relates to the operation of…
A: Interest cost = Projected benefit obligation (beginning of year) x settlement rate = $3,600,000 x…
Q: You gathered the following information related to Ashley Company’s the defined benefit plan for the…
A: Defined benefit cost for the year = (Ending Present value of obligation + Benefits paid - Beginning…
Q: Fajardo Company provided the following pension plan information: Projected benefit obligation –…
A: Expected return on plan assets = Fair value of plan asset x Discount rate = 2,800,000 x 10% =…
Q: Pension data for the Ben Franklin Company Include the following for the current calendar year:…
A: Journal entry - It refers to the process where the business transactions are recorded in the books…
Q: U.S. Metallurgical Incorporated reported the following balances in its financial statements and…
A: Pension expense refers to the amount of money which the business charges to the expenses against the…
Q: What is the pension expense for 20X1?
A: Pension expense is the amount that a business charges to expense in relation to its liabilities for…
Q: Latoya Company provides the following selected information related to its defined benefit pension…
A: 1. Compute pension expense and record journal entry for pension expense as shown below:
Q: A Company provided the following pension plan information: Projected benefit obligation – January…
A: The fair value of the funds invested to pay pension obligations is said to be the fair value of plan…
Q: Smith, Inc. has a pension plan with the following data available for 20X1 and 20X2: 20X1 20X2 $…
A: Unrealized profits and losses shown in the equity part of the balance sheet that is netted below…
6) The following facts apply to the pension plan of Trudy Borke Inc. for the year 20X1:
Plan assets, January 1 20X1 $490,000
Projected benefit obligation January 1 20X1 490,000
Settlement rate 8.5%
Annual pension service cost 40,000
Contributions (funding) 30,000
Actual return on plan assets 49,700
Benefits paid to retirees 33,400
What is the pension expense for 20X1?
Trending now
This is a popular solution!
Step by step
Solved in 2 steps with 1 images
- The following facts apply to the pension plan of Trudy Borke Inc. for the year 20X1: Plan assets, January 1 20X1 $490,000 Projected benefit obligation January 1 20X1 490,000 Settlement rate 8.5% Annual pension service cost 40,000 Contributions (funding) 30,000 Actual return on plan assets 49,700 Benefits paid to retirees 33,400 What is the pension expense for 20X1? items Annual Pension expense cash Pension asset/liability Projected Benefit Obligation Plan Assets Balance, January 1, 20X1 $490,000 Cr. $490,000 Dr. service cost $40,000 Dr. $40,000 Cr. interest cost $49,700 Dr. $49,700 Cr. actual return $49,700 Cr. $49,700 Dr. contributions $30,000 Cr. $30,000 Dr. Benefits $33,400 Dr. $33,400 Cr. journal entry for 20X1 $40,000 $30,000 Cr. $10,000 Cr. Balance 20X1 $10,000 Cr. $546,300 Cr. $536,300 Dr.The following data relate to Ramesh Company's defined benefit pension plan: ($ in millions) $690 69 55 118 13 20 90 Plan assets at fair value, January 1 Expected return on plan assets Actual return on plan assets Contributions to the pension fund (end of year) Amortization of net loss Pension benefits paid (end of year) Pension expense Required: Determine the amount of pension plan assets at fair value on December 31. (Enter your answers in millions. Amounts to be deducted should be indicated with a minus sign.) Pension Plan Assets Beginning of the year End of the yearII. Pension data for the Phoenix Company include the following for the current calendar year: Discount rate, 8% Expected return on plan assets, 10% Actual return on plan assets, 9% Service cost, $200,000 January 1: PBO ABO Plan assets Amortization of prior service cost Amortization of net gain December 31: Cash contributions to pension fund Benefit payments to retirees $1,400,000 1,000,000 1,500,000 20,000 4,000 $220,000 240,000 a) Determine pension expense for the year. b) Prepare the journal entries to record pension expenses and funding for the year.
- Rosaria Co. sponsors a defined benefit pension plan. For the current year ended December 31, thefollowing information relevant to the plan has been accumulated:Defined benefit obligation, 1/1 P11,250,000Fair value of plan assets, 1/1 10,500,000Current service cost 1,050,000Past service cost 2,200,000Actual return on plan assets 600,000Decrease in defined benefit obligation due tochanges in actuarial assumptions300,000Discount rate 8%Requirements:1. In the working papers computations, what balance of plan assets will be determined?2. In the working papers computations, what balance of benefit obligation will be determined?3. Calculate the amount that the entity would recognize in profit or loss for the year in accordancewith the revised PAS 19.4. Calculate the amount that the entity would recognize in other comprehensive income for theyear in accordance with the revised PAS 19.Pension data for Carolina Consulting Company included the following for the current calendar year: Service cost PBO, January 1 Plan assets, January 1 Amortization of prior service cost Amortization of net loss Discount rate, 6% Expected return on plan assets, Actual return on plan assets, 10% $116,000 830,000 880,000 6,800 2,800 8% Required: Determine pension expense for the year. (Amounts to be deducted should be indicated with a minus sign.) Pension Expense Pension expensePension data for David Emerson Enterprises include the following: ($ in millions)Discount rate, 10%Projected benefit obligation, January 1 $360Projected benefit obligation, December 31 465Accumulated benefit obligation, January 1 300Accumulated benefit obligation, December 31 415Cash contributions to pension fund, December 31 150Benefit payments to retirees, December 31 54 Required:Assuming no change in actuarial assumptions and estimates, determine the service cost component of pension expense for the year ended December 31.
- The following data relate to Ramesh Company’s defined benefit pension plan: ($ in millions) Plan assets at fair value, January 1 $ 630 Expected return on plan assets 63 Actual return on plan assets 50 Contributions to the pension fund (end of year) 106 Amortization of net loss 11 Pension benefits paid (end of year) 14 Pension expense 78 Required:Determine the amount of pension plan assets at fair value on December 31. (Enter your answers in millions. Amounts to be deducted should be indicated with a minus sign.)The following information is related to the defined benefit pension plan of Dreamworld Company for the year ended 12/31/2020: Service cost $ 60,000 110,000 150,000 640,000 750,000 150,000 900,000 960,000 Contributions to pension plan Benefits paid to retirees Plan assets (fair value), January 11 Plan assets (fair value), December 31 Actual return on plan assets PBO, January 1 PBO, December 31 Discount rate Long-term expected return on plan assets Prior Service Cost 1/1 $ 700,000 Average remaining years of service Assuming no other relevant data exist. Required: 10 years 10% 9% A. Calculate the company's pension expense for 2020. B. Make journal entry (entries) related to the plan at 12/31/2020.The following information is related to the defined benefit penslon plan of Melissa Larson Company for the year: Service cost Contributions to pension plan Benefits paid to retirees Plan assets (fair value), January 1 Plan assets (fair value), December 31 $ 90,000 140,000 110,000 540,000 650,000 80,000 800,000 870,000 Actual return on plan assets PBO, January 1 PBO, December 31 Discount rate 10% Long-term expected return on plan assets 9 % Assuming no other relevant data exist, what is the pension expense for the year? Multiple Choice $90,000. $121,400. 13 of 39 Next > Prev Show All 7 Question no....pages 15....pdf Question no....pages MacBook Air
- Pension data for David Emerson Enterprises Include the following: Discount rate, 12% Projected benefit obligation, January 1 Projected benefit obligation, December 31 Accumulated benefit obligation, January 1 Accumulated benefit obligation, December 31 Cash contributions to pension fund, December 31 Benefit payments to retirees, December 31 Service cost ($ in millions) million $300 470 Required: Assuming no change in actuarial assumptions and estimates, determine the service cost component of pension expense for the year ended December 31. 305 420 155 55Smith, Inc. has a pension plan with the following data available for 20X1 and 20X2: 20X1 20X2 $ 30,000 $ 34,000 $ 18,000 $ 20,000 $ 15,000 $ 21,600 $200,000 $240,000 Service cost Interest cost Actual return on plan assets Beginning of year plan assets Discount rate 8% 8% Expected return on plan assets 8% 8% The adjustment to OCI for gain or loss from the return on plan assets for 20X1 is:The following data relate to Ramesh Company’s defined benefit pension plan: ($ in millions)Plan assets at fair value, January 1 $600Expected return on plan assets 60Actual return on plan assets 48Contributions to the pension fund (end of year) 100Amortization of net loss 10Pension benefits paid (end of year) 11Pension expense 72 Required:Determine the amount of pension plan assets at fair value on December 31.