For each independent case, calculate any amortization of the net loss or gain that should be included as a component of pension expense for 2021. 2. For each independent case, determine the net loss—AOCI or net gain—AOCI as of January 1, 2022.
Q: Marigold Corp. sponsors a defined benefit pension plan for its employees. On January 1, 2021, the…
A: Income Statement- An income statement is one of the three major fiscal statements used for dealing a…
Q: Hicks Cable Company has a defined benefit pension plan. Three alternative possibilities for…
A: Pension expense is the amount business charged as an expense for pension payable to the employees…
Q: The following pension-related data pertain to Metro Recreation's noncontributory, defined benefit…
A: Working notes: 1 8% x $5,500 = $440 2 $5780 – 5500 – 440 + 66 + 435 = $341 3 10% x…
Q: Pina Co. has the following defıned benefit pension plan balances on January 1, 2020. Projected…
A: Given information is represented in the form of a table below,
Q: Abbott and Abbott has a noncontributory, defined benefit pension plan. At December 31, 2021, Ab…
A: Pension plan:- A pension plans are considered as the retirement plan, that an individual received…
Q: Louie Company's defined benefit pension plan had a PBO of $272,000 on January 1, 2021. During 2021,…
A: Projected Benefit Obligation(PBO) is estimated amount that is set aside by entity to meet pension…
Q: he following defined pension data of Splish Corp. apply to the year 2020. Projected benefit…
A: A journal entry is a form of accounting entry that is used to report a business transaction in a…
Q: Beale Management has a noncontributory, defined benefit pension plan. On December 31, 2021 (the end…
A: Introduction: A pension plan is a retirement plan wherein a company contributes to a pool of budgets…
Q: The following information is made available involving the defined benefit pension plan of Princess…
A: Defined benefit plans are plans that are made or established by the company for the benefit of…
Q: etermine the pension expense to be reported in 2021.
A:
Q: Marigold Corp. sponsors a defined benefit pension plan for its employees. On January 1, 2021, the…
A: Pension Expenses: It is the sum that a business charges to expense according to its liabilities…
Q: Electronic Distribution has a defined benefit pension plan. Characteristics of the plan during 2021…
A: Journal is a place where accounting transactions are listed in the book keeping system before ledger…
Q: The following information pertains to HaffVay Hotels, Inc.'s pension plan for calendar 2019:…
A: Closing PBO = Beg PBO + Service cost+ Interest cost + Service cost - benefits paid = 96000…
Q: Wasim Corp. sponsors a defined benefit pension plan for its employees. On January 1, 2019, the…
A: SOLUTION- PENSION WORKSHEET IS PREPARED TO PREPARE THE NECESSARY JOURNAL ENTRY TO POST THE PENSION…
Q: Company G offers a defined benefit pension plan to its employees. At December 31, 2018, the present…
A: Given: Benefit obligation of the pension plan = $7,800,000 Plan assets = $8,000,000 The information…
Q: Pearsall offers defined benefit pension plan to employees, which had a PBO of $265,000 on January 1,…
A: Ending PBO = Beginning PBO + Service costs + Interest Costs - Pension benefit paid where, Interest…
Q: Sharks Company implemented a defined benefit pension plan for its employees. The following data are…
A:
Q: The following information is made available involving the defined benefit pension plan of Princess…
A: Interest cost = Defined benefit obligation x discount rate = 3750000 x 10% = 375000
Q: 499,000 Benefits paid 294,350 Amortization of prior service costs 111,000 In the journal entry…
A: Journal entry: Journal entry is the book of original entry where first transactions are recorded in…
Q: The following information for Sheridan Enterprises is given below: December 31, 2021…
A: Pensions are a liability for every business under defined pension plan. Business makes funding for…
Q: Sandhill Limited sponsors a defined benefit pension plan, and follows ASPE. The corporation's…
A: The company commits to provide the monthly income once the employee retire in a defined benefit…
Q: Great Cosmetics Corp., a company reporting under IFRS, has a defined benefit pension plan. Pension…
A: In order to determine the net defined benefit liability/asset balance the Fair value of plan assets…
Q: ABC Inc. follows IFRS for financial reporting purposes and has established a defined benefit pension…
A: Pension Benefit Obligation The calculation of pension benefit obligation to added up the service…
Q: Pension data for Sterling Properties include the following: ($ in thousands) Service cost, 2021…
A: PLEASE LIKE THE ANSWER Pension Expense $ Service Cost…
Q: Markland Corporation sponsors a defined benefit pension plan for its employees. On January 1, 2018,…
A: The question is based on the concept of Accounting Standards
Q: A company had the following information at the end of 2021: Accumulated benefit obligation…
A: Formula: Pension liability = Projected benefit obligation - Fair value of pension plan Assets.
Q: Required: (show the computing process and precise journal entries) 1) Prepare the 2021 journal…
A: Pension Plan :— A Scheme on which Money is provided by the employer after the Retirement of…
Q: Cullumber Company sponsors a defined benefit pension plan. The corporation’s actuary provides the…
A: The projected benefit obligation (PBO) seems to be an actuarial calculation of how much money a…
Q: The following defined benefit pension data of Carla Vista Corp. apply to the year 2020: Defined…
A: Interest Cost : Beginning projected benefit obligation x Discount rate = $419,000 x 0.09 = $37,710
Q: Windsor Enterprises provides the following information relative to its defined benefit pension plan.…
A: As posted multiple sub parts we are answering only first three sub parts kindly repost the…
Q: Ayayai Enterprises provides the following information relative to its defined benefit pension plan.…
A: Actuarial loss on plan assets = Expected return on plan assets - Actual return on plan assets
Q: Sheridan Corporation initiated a defined benefit pension plan for its 50 employees on January 1,…
A: Plan Assets- Plan assets are assets/investments supposed by a long-term employee advantage fund for…
Q: The following facts for Storm plc apply to the pension plan for 2019. 1. Annual service cost is…
A: Pension worksheet summarizes all the entries to be recorded for the year in terms of the defined…
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: The following pension-related data pertain to Metro Recreation's noncontributory, defined benefit…
A: Pension spreadsheet in the business is prepared for entering all balances pertaining to pension…
Q: Hicks Cable Company has a defined benefit pension plan. Three alternative possibilities for…
A: Case 1: Net loss (gain) = $320 Corridor = $331 So, no excess no amortisation Case 2: Net loss (gain)…
Q: 152,000 450,600 (253,200) -237,000 2/31 349,400 -237,000 (112.400) 31 31 (398,400) SC 508,000…
A: Journal entry refers to recording or posting of the transactions of the business into the books of…
Q: The following information relates to the defined benefit pension plan of ABC Company for the year…
A: RECONCILITION OF PLAN ASSETS AND DEFINED BENEFIR OBLIGATION (DBO) (AMT IN Php) PARTICULARS…
Q: On January 1, 2020, Blue Company has the following defined benefit pension plan balances.…
A:
Q: Spath Company adopted a noncontributory defined benefit pension plan on January 1, 2019. Spath uses…
A: Interest cost =Beginning balance of Service cost x discount rate = $300,000 x 10% = $30,000 Expected…
Q: Hicks Cable Company has a defined benefit pension plan. Three alternative possibilities for…
A: Requirement 1: Particulars Case 1 ($) Case 2 ($) Case 3 ($) Net loss or gain 337,000…
Q: Calculate the pension asset/liability to be recorded at December 31, 2021.
A: Pension Liability: It is difference between the amount due to employees who is retired and the…
Q: Holmgren, Inc. received the following information from its pension plan trustee concerning the…
A: Pension expenses refers to the costs that are associated with the pension schemes or plans which are…
Q: Rosaria Co. sponsors a defined benefit pension plan. For the current year ended December 31, the…
A: The plan assets refers to the assets or investments made or held by long term employee benefit fund…
Q: 4) Electronic Distribution has a defined benefit pension plan. Characteristics of the plan during…
A: Solution:- Pension expense is the amount of expenses relating to pensions payable to employees.
Q: Beale Management has a noncontributory, defined benefit pension plan. On December 31, 2021 (the end…
A: A journal entry is a form of accounting entry that is used to report a business transaction in a…
Q: Hicks Cable Company has a defined benefit pension plan. Three alternative possibilities for pension-…
A: Correct option is B. $331
Q: Company A has a pension plan. On December 31, 2021, the following pension related data were…
A: + Service cost = 112 + Interest Cost = 43 - Expected Return on plan assets = 45 + Amortized Prior…
Q: Presented below is information related to Noble Inc. as of December 31, 2019. Net gain/loss £…
A: Formula: Pension liability = Defined benefit obligation - plan assets at fair value. Deduction of…
Hicks Cable Company has a defined benefit pension plan. Three alternative possibilities for pension-related data at January 1, 2021, are shown below:
($ in thousands) | |||||||||
Case 1 | Case 2 | Case 3 | |||||||
Net loss (gain)—AOCI, Jan. 1 | $ | 335 | $ | (397 | ) | $ | 305 | ||
2021 loss (gain) on plan assets | (26 | ) | (23 | ) | 5 | ||||
2021 loss (gain) on PBO | (38 | ) | 31 | (310 | ) | ||||
Accumulated benefit obligation, Jan. 1 | (3,100 | ) | (2,700 | ) | (1,600 | ) | |||
Projected benefit obligation, Jan. 1 | (3,460 | ) | (2,820 | ) | (1,850 | ) | |||
Fair value of plan assets, Jan. 1 | 2,950 | 2,850 | 1,700 | ||||||
Average remaining service period of active employees (years) |
12 | 14 | 10 | ||||||
Required:
1. For each independent case, calculate any amortization of the net loss or gain that should be included as a component of pension expense for 2021.
2. For each independent case, determine the net loss—AOCI or net gain—AOCI as of January 1, 2022.
Trending now
This is a popular solution!
Step by step
Solved in 3 steps with 2 images
- Hicks Cable Company has a defined benefit pension plan. Three alternative possibilities for pension-related data at January 1, 2021, are shown below: ($ in thousands) Case 1 Case 2 Case 3 Net loss (gain)—AOCI, Jan. 1 $ 337 $ (407 ) $ 297 2021 loss (gain) on plan assets (28 ) (25 ) 5 2021 loss (gain) on PBO (40 ) 33 (301 ) Accumulated benefit obligation, Jan. 1 (3,120 ) (2,720 ) (1,620 ) Projected benefit obligation, Jan. 1 (3,480 ) (2,840 ) (1,870 ) Fair value of plan assets, Jan. 1 2,970 2,870 1,720 Average remaining service periodof active employees (years) 12 15 10 Required:1. For each independent case, calculate any amortization of the net loss or gain that should be included as a component of pension expense for 2021.2. For each independent case, determine the net loss—AOCI or net gain—AOCI as of January 1, 2022.Hicks Cable Company has a defined benefit pension plan. Three alternative possibilities for pension-related data at January 1, 2024, are shown below: Case 1 Net loss (gain)-AOCI, January 1 $ 333 ($ in thousands) Case 2 $ (371) Case 3 279 2024 loss (gain) on plan assets (24) (21) 7 2024 loss (gain) on PBO (36) 29 Accumulated benefit obligation, January 1 (3,080) (2,680) (285) (1,580) Projected benefit obligation, January 1 (3,440) Fair value of plan assets, January 1 2,930 (2,800) 2,830 (1,830) 1,680 Average remaining service period of active employees (years) 10 11 8 Required: es 1. For each independent case, calculate any amortization of the net loss or gain that should be included as a component of pension expense for 2024. 2. For each independent case, determine the net loss-AOCI or net gain-AOCI as of January 1, 2025. Complete this question by entering your answers in the tabs below. Required 1 Required 2 For each independent case, calculate any amortization of the net loss or gain…Hicks Cable Company has a defined benefit pension plan. Three alternative possibilities for pension-related data at January 1, 2024, are shown below: ($ in thousands) Net loss (gain)—AOCI, January 1 $ 324 $ (340) 270 2024 loss (gain) on plan assets (15) (12) 6 2024 loss (gain) on PBO (27) 20 (275) Accumulated benefit obligation, January 1 (2,990) (2,590) (1,490) Projected benefit obligation, January 1 (3,350) (2,710) (1,740) Fair value of plan assets, January 1 2,840 2,740 1,590 Average remaining service period of active employees (years) 10 11 8 Required: For each independent case, calculate any amortization of the net loss or gain that should be included as a component of pension expense for 2024. For each independent case, determine the net loss—AOCI or net gain—AOCI as of January 1, 2025.
- Hicks Cable Company has a defined benefit pension plan. Three alternative possibilities for pension-related data at January 1, 2024, are shown below. Net loss (gain)-AOCI, January 1 2024 loss (gain) on plan assets 2024 loss (gain) on PBO Accumulated benefit obligation, January 1 Projected benefit obligation, January 1 Fair value of plan assets, January 1 Average remaining service period of active employees (years) Required: ($ in thousands) Case 1 Case 2 Case 3 $ 340 $ (410) 281 (31) (28) 6 (43) 36 (3,150) (2,750) (290) (1,650) (3,510) (2,870) 3,000 2,900 (1,900) 1,750 10 12 7 1. For each independent case, calculate any amortization of the net loss or gain that should be included as a component of pension expense for 2024. 2. For each independent case, determine the net loss-AOCI or net gain-AOCI as of January 1, 2025.Hicks Cable Company has a defined benefit pension plan. Three alternative possibilities for pension-related data at January 1, 2016, are shown below: ($ in 000s) Case 1 Case 2 Case 3 $ (330) (8) 16 (2,550) (2,670) 2,700 Net loss (gain)-AOCI, Jan. 1 2016 loss (gain) on plan assets 2016 loss (gain) on PBO Accumulated benefit obligation, Jan. 1 Projected benefit obligation, Jan. 1 Fair value of plan assets, Jan. 1 Average remaining service period of active employees (years) $ 320 $ 260 (11) (23) (2,950) (265) (1,450) (1,700) 1,550 (3,310) 2,800 12 15 10 Required: 1. For each independent case, calculate any amortization of the net loss or gain that should be included as a component of pension expense for 2016. 2. For each independent case, determine the net loss-AOCI or net gain-AOCI as of January 1, 2017.8. P Corp. has a defined benefit pension plan. On December 31, 2021 (the end of P's fiscal year), the following pension-related data were available: Projected Benefit Obligation ($ in millions) Balance, January 1, 2021 $240 Service cost 41 Interest cost, discount rate, 5% 12 Gain due to changes in actuarial assumptions in 2021 (5) Pension benefits paid (20) Balance, December 31, 2021 $268 Plan Assets Balance, January 1, 2021 $250 Actual return on plan assets 20 (Expected return on plan assets, $22.5) Cash contributions 35 Pension benefits paid (20) Balance, December 31, 2021 $285 January 1, 2021, balances: Prior service cost (amortization $4 per year) $24 Net gain (any amortization over 15 years) 55 Required: (show the computing process and precise journal entries) 1) Prepare the 2021 journal entry to record pension expense. 2) Prepare the 2021 journal entry to record the…
- 1. Compute 2022 net periodic pension expense. The 2022 records of MPS Company provided the following data related to its noncontributory, defined benefit pension plan (amounts in PO00s): a. Accumulated benefit obligation (report of actuary) Beginning balance P3,000 Service cost 1,200 Interest cost 240 Pension benefits paid Ending balance (400) P4,040 Discount rate used by actuary, 8% b. Plan assets at fair value (report of trustee): Beginning balance Actual return on plan assets Contributions P2,400 168 1,016 (400) Pension benefits paid Ending balance Р3,192 Expected long-term rate of return of plan assets, 7% c. January 1, 2022, balance of unrecognized prior service cost, gains and losses, and transaction cost, zero.2. Give the 2022 entries for MPS Company to record pension expense and funding. The 2022 records of MPS Company provided the following data related to its noncontributory, defined benefit pension plan (amounts in PO005): a. Accumulated benefit obligation (report of actuary) Beginning balance P3,000 1,200 Service cost Interest cost 240 Pension benefits paid Ending balance (400) P4,040 Discount rate used by actuary, 8% b. Plan assets at fair value (report of trustee): Beginning balance Actual return on plan assets Contributions 400 168 Pension benefits paid Ending balance 1,016 (400) P3,192 Expected long-term rate of return of plan assets, 7% c. January 1, 2022, balance of unrecognized prior service cost, gains and losses, and transaction cost, zero.Help Save & Exit Submit Hall of Fame Co. has a defined benefit pension plan. Two alternative possibilities for pension-related data for the current calendar year are shown below: Case 1 (232,200) S 212,000 (6,100) 12,100 (1,510,000) (1,710,000) 2,010,000 Саве 2 Net loss (gain), Jan. 1 Loss (gain) on plan assets Loss (gain) on PB0 ABO, Jan. 1 PBO, Jan. 1 Plan assets, Jan.1 Average remaining service period of active employees (years) 2,100 (221,000) (1,360,000) (1,610,000) 1,460,000 12 10 Required: 1. For each independent case, calculate amortization of the net loss or gain that should be included as a component of pension expense for the current year. 2. Determine the net loss or gain as of December 31 of the current year. Complete this question by entering your answers in the tabs below. Required 1 Required 2 For each independent case, calculate amortization of the net loss or gain that should be included as a component of pension expense for the current year. (Input all amounts as…
- Vaughn Enterprises provides the following information relative to its defined benefit pension plan. Balances or Values at December 31, 2020Projected benefit obligation $2,726,600Accumulated benefit obligation 1,982,100Fair value of plan assets 2,293,300Accumulated OCI (PSC) 208,700Accumulated OCI—Net loss (1/1/20 balance, 0) 45,700Pension liability 433,300Other pension plan data for 2020: Service cost $94,700Prior service cost amortization 42,100Actual return on plan assets 129,100Expected return on plan assets 174,800Interest on January 1, 2020, projected benefit obligation 252,800Contributions to plan 93,100Benefits paid 138,800 Collapse question part(a) Prepare the note disclosing the components of pension expense for the year 2020. (Enter amounts that reduce pension expense with either a negative sign preceding the number e.g. -45 or parenthesis e.g. (45).) Components of Pension ExpenseService Cost$94700Interest Cost252800Expected Return on Plan Assets(174800)Prior Service Cost…Vaughn Enterprises provides the following information relative to its defined benefit pension plan. Balances or Values at December 31, 2020Projected benefit obligation $2,726,600Accumulated benefit obligation 1,982,100Fair value of plan assets 2,293,300Accumulated OCI (PSC) 208,700Accumulated OCI—Net loss (1/1/20 balance, 0) 45,700Pension liability 433,300Other pension plan data for 2020: Service cost $94,700Prior service cost amortization 42,100Actual return on plan assets 129,100Expected return on plan assets 174,800Interest on January 1, 2020, projected benefit obligation 252,800Contributions to plan 93,100Benefits paid 138,800 Collapse question part(a)Prepare the note disclosing the components of pension expense for the year 2020. (Enter amounts that reduce pension expense with either a negative sign preceding the number e.g. -45 or parenthesis e.g. (45).) Components of Pension ExpenseService Cost$94700Interest Cost252800Expected Return on Plan Assets(174800)Prior Service Cost…Beale Management has a noncontributory, defined benefit pension plan. On December 31, 2024 (the end of Beale's fiscal year), the following pension-related data were available: Projected Benefit Obligation Balance, January 1, 2024 Service cost Interest cost, discount rate, 5% Gain due to changes in actuarial assumptions in 2024 Pension benefits paid Balance, December 31, 2024 ($ in millions) $ 480 82 24 (10) (40) $ 536 Plan Assets ($ in millions) Balance, January 1, 2024 $ 500 Actual return on plan assets 40 (Expected return on plan assets, $45) Cash contributions 70 Pension benefits paid (40) Balance, December 31, 2024 $ 570 January 1, 2024, balances: ($ in millions) $ 20 48 80 Pension asset Prior service cost-AOCI (amortization $8 per year) Net gain-AOCI (any amortization over 15 years) Required: 1. to 3. Prepare the journal entries required for the pension during 2024. 4. Determine the balances at December 31, 2024, in the net gain-AOCI, and prior service cost-AOCI. [Hint: You might…