The following data are for the pension plan for the employees of R Company. 1/1/15 12/31/15 12/31/16 Defined benefit obligation P8,100,000 P8,400,000 P11,100,000 Plan assets (at fair value) 6,900,000 9,000,000 9,900,000 AOCI – net loss -0- 1,440,000 1,500,000 Discount rate (for year) 8% 7% R's contribution was P1,260,000 in 2016 and benefits paid were P1,125,000. R estimates that the average remaining service life is 15 years. Assume that the actual return on plan assets in 2016 was P800,000. The gain on plan assets in 2016 was

The following data are for the pension plan for the employees of R Company. 1/1/15 12/31/15 12/31/16 Defined benefit obligation P8,100,000 P8,400,000 P11,100,000 Plan assets (at fair value) 6,900,000 9,000,000 9,900,000 AOCI – net loss -0- 1,440,000 1,500,000 Discount rate (for year) 8% 7% R's contribution was P1,260,000 in 2016 and benefits paid were P1,125,000. R estimates that the average remaining service life is 15 years. Assume that the actual return on plan assets in 2016 was P800,000. The gain on plan assets in 2016 was

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 7E

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Use the following information for questions 4 through 6. The following data are for the pension plan for the employees of Lockett Company. 1/1/1412/31/1412/31/15 Accumulated benefit obligation $2,500,000 $2,600,000 $3,400,000 Projected benefit obligation 2,700,000 2,800,000 3,700,000 Plan assets (at fair value) 2,300,000 3,000,000 3,300,000 AOCL – net loss -0- 580,000 500,000 Settlement rate (for year) 10% 9% Expected rate of return (for year) 8% 7% Lockett’s contribution was $420,000 in 2015 and benefits paid were $275,000. Lockett estimates that the average remaining service life is 20 years. 4.The actual return on plan assets in 2015 was a. $300,000. b. $255,000. c. $200,000. d. $155,000. 5.Assume that the actual return on plan assets in 2015 was $245,000. The unexpected gain on plan assets in 2015 was a. $32,000. b. $55,000. c. $35,000. d. $34,000. 6.The corridor for 2015 was $300,000. The amount of AOCI-net loss amortized in 2015 was a. $33,333. b. $32,000. c. $14,000.…
The following data are for the pension plan for the employees of Lockett Company. 1/1/14 12/31/14 12/31/15 Accumulated benefit obligation $2,500,000 $2,600,000 $3,400,000 Projected benefit obligation 2,700,000 2,800,000 3,700,000 Plan assets (at fair value) 2,300,000 3,000,000 3,300,000 AOCL – net loss -0 580,000 500,000 Settlement rate (for year) 10% 9% Expected rate of return (for year) 8% 7% Lockett’s contribution was $420,000 in 2015 and benefits paid were $275,000. Lockett estimates that the average remaining service life is 20 years. The actual return on plan assets in 2015 was $300,000. $255,000. $200,000. $155,000.
The following information relates to the pension plan for the employees of Ivanhoe Co.: 1/1/20 12/31/20 12/31/21 Accum. benefit obligation $ 9440000 $ 9860000 $ 12800000 Projected benefit obligation 9965000 10658000 14207000 Fair value of plan assets 9125000 11120000 12254000 AOCI – net (gain) or loss -0- (1532000 ) (1700000 ) Settlement rate (for year) 11% 11% Expected rate of return (for year) 8% 7% Ivanhoe estimates that the average remaining service life is 16 years. Ivanhoe's contribution was $1343000 in 2021 and benefits paid were $1007000.The actual return on plan assets in 2021 is $2141000. $1134000. $336000. $798000.
The following information relates to the pension plan for the employees of Oriole Co.: 1/1/20 12/31/20 12/31/21 Accum. benefit obligation $ 9540000 $ 9960000 $ 12900000 Projected benefit obligation 10065000 10758000 14307000 Fair value of plan assets 9225000 11220000 12354000 AOCI – net (gain) or loss -0- (1542000 ) (1710000 ) Settlement rate (for year) 10% 10% Expected rate of return (for year) 7% 6% Oriole estimates that the average remaining service life is 16 years. Oriole's contribution was $1353000 in 2021 and benefits paid were $1017000.The corridor for 2021 is $673200. $1430700. $1122000. $858420.
The following information related to Company DDD’s pension plan: Plan asset, January 1, 20x8 P950,000 Defined benefit obligation, January 1, 20x8 1,000,000 Average remaining working life of employees at January 1, 20x8 10 years Service cost for 20x8 90,000 Discount rate at January 1, 20x8 10% Expected return on plan asset at January 1, 20x8 100,000 Remeasurement loss arising in 20x8 15,000 Past service cost 30,000 Vesting period for past service cost 2 years What amount of defined benefit cost should be recognized during 20x8?
The following information relates to Lesser Company's defined benefit pension plan. PBO: 1/1/X1: $1.5 million; 12/31/X1: $1.8 million. Plan assets: 1/1/X1: 1.6 million; 12/31/X1: $1.9 million. Unrecognized gains: $200,000. Average remaining service period is 10 years. Lesser Company should amortize an amount of the unrecognized gain equal to
The following data are for the pension plan for the employees of Sandhill Company. 1/1/20 12/31/20 12/31/21 Accumulated benefit obligation $ 5100000 $ 5200000 $ 6980000 Projected benefit obligation 5530000 5680000 7410000 Plan assets (at fair value) 4610000 5900000 6640000 AOCL – net loss 0 958000 1080000 Settlement rate (for year) 10% 10% Expected rate of return (for year) 9% 6% Sandhill’s contribution was $840000 in 2021 and benefits paid were $763000. Sandhill estimates that the average remaining service life is 15 years.The actual return on plan assets in 2021 was: 480000 663000 740000 563000
Presented below is information related to Blossom Manufacturing Company as of December 31, 2021: Projected benefit obligation $ 1600000 Accumulated OCI -net gain 580000 Accumulated OCI (PSC) 790000 The amount for the prior service cost is related to an increase in benefits. The fair value of the pension plan assets is $1102000.The pension asset / liability reported on the balance sheet at December 31, 2021 is: pension liability of $1102000. Pension liability of $498000. Pension liability of $2390000. Pension liability of $1600000.
The following information relates to Irasly Inc. at December 31,2002: Fair value of plan assets 1,520,000 Market related asset value 1,440,000 Present value of defined benefit obligation 1,960,000 Projected benefit obligation 2,040,000 Past service cost (recognized in full during the period) 24,000 Prepaid/accrued pension cost 0 The net defined benefit liability at December 31, 2002, for Irasly Inc. is
Sandhill Co. had the following selected balances at December 31, 2021: Projected benefit obligation $4,640,000 Accumulated benefit obligation 4,540,000 Fair value of plan assets 4,285,000 Accumulated OCI (PSC) 165,000 Calculate the pension asset/liability to be recorded at December 31, 2021. Pension $
Blue Corp., provides a noncontributory defined-benefit pension plan for its employees. The company's actuary has provided the following information for the year ended December 31, 2021:Defined benefit obligation, Dec.31, 2021 - P600,000Fair value of plan assets, Dec.31, 2021 - 825,000Service cost - 240,000Interest on defined benefit obligation - 24,000Past service cost - 60,000Expected return and interest revenue on plan assets - 33,000In its December 31, 2021 statement of financial position, Blue Corporation reported a pension asset/ liability of Choices: Pension liability of P600,000 Pension asset of P824,000 Pension asset of P225,000 Pension liability of P525,000
Blue Corp., provides a noncontributory defined-benefit pension plan for its employees. The company's actuary has provided the following information for the year ended December 31, 2021:Defined benefit obligation, Dec.31, 2021 - P600,000Fair value of plan assets, Dec.31, 2021 - 825,000Service cost - 240,000Interest on defined benefit obligation - 24,000Past service cost - 60,000Expected return and interest revenue on plan assets - 33,000In its December 31, 2021 statement of financial position, Blue Corporation reported a pension asset/ liability of