Sandhill Company provides the following information about its defined benefit pension plan for the year 2020. Service cost $ 88,400 Contribution to the plan 103,100 Prior service cost amortization 10,600 Actual and expected return on plan assets 64,800 Benefits paid 39,800 Plan assets at January 1, 2020 634,600 Projected benefit obligation at January 1, 2020 700,900 Accumulated OCI (PSC) at January 1, 2020 152,600 Interest/discount (settlement) rate 10 % Compute the pension expense for the year 2020.
Sandhill Company provides the following information about its defined benefit pension plan for the year 2020. Service cost $ 88,400 Contribution to the plan 103,100 Prior service cost amortization 10,600 Actual and expected return on plan assets 64,800 Benefits paid 39,800 Plan assets at January 1, 2020 634,600 Projected benefit obligation at January 1, 2020 700,900 Accumulated OCI (PSC) at January 1, 2020 152,600 Interest/discount (settlement) rate 10 % Compute the pension expense for the year 2020.
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 6E
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Sandhill Company provides the following information about its defined benefit pension plan for the year 2020.
| Service cost | $ 88,400 | ||
| Contribution to the plan | 103,100 | ||
| Prior service cost amortization | 10,600 | ||
| Actual and expected return on plan assets | 64,800 | ||
| Benefits paid | 39,800 | ||
| Plan assets at January 1, 2020 | 634,600 | ||
| Projected benefit obligation at January 1, 2020 | 700,900 | ||
| Accumulated OCI (PSC) at January 1, 2020 | 152,600 | ||
| Interest/discount (settlement) rate | 10 | % |
Compute the pension expense for the year 2020.
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