Actuary and trustee reports indicate the following changes in the PBO and plan assets of Lakeside Cable during 2024: Prior service cost at January 1, 2024, from plan amendment at the beginning of 2022 (amortization: $4 million per year) Net loss-pensions at January 1, 2024 (previous losses exceeded previous gains) Average remaining service life of the active employee group Actuary's discount rate ($ in millions) Beginning of 2024 Service cost Interest cost, 8% Loss (gain) on PBO Less: Retiree benefits End of 2024 PBO $ 300 48 24 (2) (20) $ 350 Beginning of 2024 Return on plan assets, 7.5% (10% expected) Cash contributions Less: Retiree benefits End of 2024 $ 32 million $ 40 million 10 years 8% Plan Assets $ 200 15 45 (20) $ 240
Actuary and trustee reports indicate the following changes in the PBO and plan assets of Lakeside Cable during 2024: Prior service cost at January 1, 2024, from plan amendment at the beginning of 2022 (amortization: $4 million per year) Net loss-pensions at January 1, 2024 (previous losses exceeded previous gains) Average remaining service life of the active employee group Actuary's discount rate ($ in millions) Beginning of 2024 Service cost Interest cost, 8% Loss (gain) on PBO Less: Retiree benefits End of 2024 PBO $ 300 48 24 (2) (20) $ 350 Beginning of 2024 Return on plan assets, 7.5% (10% expected) Cash contributions Less: Retiree benefits End of 2024 $ 32 million $ 40 million 10 years 8% Plan Assets $ 200 15 45 (20) $ 240
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 5RE
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