Following information is relevant to a defined benefit pension plan of PT XYZ for the year 2020: Plant Assets Balance at January 01, 2020 600 Expected return on plan assets 61 Contribution received 49 Benefits paid Actuarial gain (balancing figure) -40 15 685 Plant Liabilities: Balance at January 01, 2020 640 Interest cost 52 Current Service Cost 21 Benefit paid Actuarial gain (loss) (balancing figure) -40 42 715 Calculate: (i) Pension expense to be recognised in profit or loss for the year ended December 31, 2020. (ii) Net liabilities to be shown in the Statement of Financial Position as of December 31, 2020
Q: the following information pertains to Dreamworld Corporation's defined benefit pension plan: ($ in…
A: Service costing refers to the sum total of all the operational expenses or costs incurred on each…
Q: On January 1, 2021, Sandhill Co. has the following balances: Projected benefit obligation $…
A: The projected benefit obligation is referred to as the measurement of the present amount that a…
Q: The following information relates to the defined benefit pension plan of ABC Company for the year…
A: Particulars Debit (P) Particulars Credit (P) Beginning balance 9,500,000 Actuarial loss 120,000…
Q: Pension data for Sterling Properties include the following:…
A: Interest cost = Beginning Projected benefit obligation x Interest rate = $850,000*6% = $51,000…
Q: Determine the missing amounts in the 2020 pension worksheet, indicating whether the amounts are…
A: Journal entry is a form of accounting entry that is used by businesses to record transactions in a…
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: 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: The pension asset / liability reported on the balance sheet at December 31, 2021 is: pension…
A: Given information is: Projected benefit obligation = $16,00,000 Accumulated OCI -net gain = $580,000…
Q: Vernhey Corporation, which follows ASPE, provides the following information about its defined…
A: Defined Benefit Plan For the defined benefit plan which are provided for the benefit of the…
Q: The following facts apply to the pension plan of Wildhorse Inc. for the year 2020. Plan assets,…
A: A journal entry is a form of accounting entry that is used to report a business transaction in a…
Q: Marin Importers provides the following pension plan information. Fair value of pension plan assets,…
A: Workings:
Q: resented below is pension information related to Pharoah, Inc. for the year 2021: Service cost…
A: Solution: Service cost 330000 Interest on projected benefit obligation 230000 Amortization of…
Q: Sage Company provides the following selected information related to its defined benefit pension plan…
A: Calculation of Pension Expense: Service cost 79,600 Benefit obligation (698,500 x 10%) 69,850…
Q: Culver Company sponsors a defined benefit pension plan. The corporation’s actuary provides the…
A: Pension expense is the amount that is charged by a firm to expense in connection to its liabilities…
Q: Following information is relevant to a defined benefit pension plan of PT XYZ for the year 2020:…
A: Pension expense: It is the amount charged to a business expense, which represents the pension…
Q: Sage Company provides the following selected information related to its defined benefit pension plan…
A: Pension expense is the sum charged to expense by a firm in relation to its liabilities for employee…
Q: hat is the 2021 pension expense for Foundry’s plan?
A: Pension plan: A pension plan can be defined as the retirement plan in which employer contributes…
Q: resented below is pension information for Ivanhoe Company for the year 2021: Expected return on…
A: Solution: Service cost 155000 Interest on projected benefit obligation 59000 Amortization of…
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: Pension data for Sterling Properties include the following: ($ in thousands) Service cost, 2021…
A: PLEASE LIKE THE ANSWER Pension Expense $ Service Cost…
Q: Following information is relevant to a defined benefit pension plan of PT XYZ for the year 2020:…
A: As per defined pension plan of PT XYZ pension expense is to be calculated by giving effects of…
Q: Carla Company provides the following selected information related to its defined benefit pension…
A: Pension plan: Pension plan is an agreement between the employer and employee. After the retirement…
Q: FMC Inc. provides its employees with a defined benefit pension plan. Details are as follows:…
A: The term "actuarial gain" or "actuarial loss" alludes to a rise or reduction in the estimates used…
Q: Sweet Company provides the following information about its defined benefit pension plan for the year…
A: Pension Expenses: It is the amount of pension which is payable to employees and charged as an…
Q: Presented below is information related to Sandhill Inc. pension plan for 2021. Service cost $…
A: Pension Expense = (Service cost+Interest on projected benefit obligation+Amortization of prior…
Q: The following facts apply to the pension plan of Sheridan Inc. for the year 2020. Sheridan applies…
A: A pension, also known as a superannuation fund in some countries, is any plan, fund, or scheme which…
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: Larkspur Company provides the following information about its defined benefit pension plan for the…
A: The defined benefit pension plan relates to an employer-sponsored pension plan wherein the employee…
Q: On January 1, 2021, Crane Co. has the following balances: Projected benefit obligation…
A: Plant assets (PPE): Plant assets are the purchase of the fixed asset for producing revenue. Its…
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: The following facts apply to the pension plan of Splish Inc. for the year 2020. Plan assets,…
A: Definition: Pension plan: This is the plan devised by corporations to pay the employees an income…
Q: Current Attempt in Progress Blossom Company provides the following information about its defined…
A: Pension expenses- Pension expense is the amount that a company charges to expense in relation to its…
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: Oriole Company provides the following information about its defined benefit pension plan for the…
A: Pension expense is the amount of business expense for liability in regard to a pension payable to…
Q: Bridgeport Company provides the following information about its defined benefit pension plan for the…
A: Pension expense is the amount that a business charges to expense in relation to liabilities for…
Q: Blossom Company provides the following information about its defined benefit pension plan for the…
A: Formula: Interest cost = Beginning projected benefit obligation x interest rate Beginning projected…
Q: The following information pertains to Qdobe Corporation’s defined benefit pension plan for 2020.…
A: Actuarial loss on PBO incurred during the year is not to be included in current year pension expense…
Q: The amount of pension expense to be reported for 2021 is
A:
Q: Exercise Sweet Enterprises provides the following information relative to its defined benefit…
A: Accumulated other comprehensive income( OCI) is that income which includes unrealized gains and…
Q: Gingrich Importers provides the following pension plan information. Fair value of pension plan…
A: Pension plan: Pension plan is the plan devised by corporations to pay the employees an income after…
Q: The following defined pension data of Doreen Corp. apply to the year 2020. Defined benefit…
A: Prepare a pension worksheet for Doreen Corp.
Q: For each independent case, calculate any amortization of the net loss or gain that should be…
A: Case POB (A) Plan Asset(B) Greater of (A) and (B) 10% of greater Case 1 3,460 2,950 3,460 346…
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: Fountain Limited sponsors a defined-benefit pension plan for its employees. On January 1,2020 the…
A: Solution- Journal: Journal is considered as a book of original entry because all the transactions…
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: Sweet Company provides the following information about its defined benefit pension plan for the year…
A: Pension Expenses: When a company provides its employees with a defined benefit pension plan, the…
Q: Sarasota Importers provides the following pension plan information. Fair value of pension plan…
A: Plan assets are the assets/investments held by a long-term employee benefit fund for the purpose of…
Q: Current Attempt in Progress Headland Importers provides the following pension plan information. Fair…
A: please like the answer your response matters Fair value of pension plan assets, January 1, 2020…
Q: At December 31, 2020, Coronado Corporation had a projected benefit obligation of $573,800, plan…
A: When the fair value of plan assets is higher than the projected benefit obligation, a corporation…
Q: The actuary for the pension plan of Buffalo Inc. calculated the following net gains and losses.…
A: Given that No.of employees = 400 Total service year participating employees = 4400
Step by step
Solved in 2 steps with 2 images
- Following information is relevant to a defined benefit pension plan of PT XYZ for the year 2020: Rp' рuluh juta Plant Assets Balance at January 01, 2020 Expected return on plan assets 600 61 Contribution received 49 Benefits paid Actuarial gain (balancing figure) -40 15 685 Plant Liabilities: Balance at January 01, 2020 640 Interest cost 52 Current Service Cost 21 Benefit paid Actuarial gain (loss) (balancing figure) -40 42 715 Calculate: (i) Pension expense to be recognised in profit or loss for the year ended December 31, 2020. (ii) Net liabilities to be shown in the Statement of Financial Position as of December 31, 2020The following information relates to Oriole, Incorporated: Plan assets (at fair value) Pension expense Projected benefit obligation Annual contribution to plan Accumulated OCI (PSC) For the Year Ended December 31, ○ $0. O $540000. O $2460000. O $174000. 2025 $1608000 765000 1980000 810000 630000 2026 $2286000 594000 2460000 594000 540000 The amount reported as the liability for pensions on the December 31, 2026 balance sheet isCase 2 Following information is relevant to a defined benefit pension plan of PT XYZ for the year 2020: Plant Assets Rp’ puluh juta Balance at January 01, 2020 600 Expected return on plan assets 61 Contribution received 49 Benefits paid -40 Actuarial gain (balancing figure) 15 685 Plant Liabilities: Balance at January 01, 2020 640 Interest cost 52 Current Service Cost 21 Benefit paid -40 Actuarial gain (loss) (balancing figure) 42 715 Calculate: (i) Pension expense to be recognised in profit or loss for…
- The following information relates to the pension plan for the employees of Blossom Company: Accum. benefit obligation Projected benefit obligation Fair value of plan assets AOCI - net (gain) or loss Settlement rate (for year) Expected rate of return (for year) 1/1/25 $7940000 8465000 7625000 O $26250. O $17456. O $20238. O $14188. 0 12/31/25 $8360000 9158000 9620000 (1382000) 11% 8% 12/31/26 $11300000 12707000 10754000 (1550000) 11% 7% Blossom estimates that the average remaining service life is 16 years. Blossom's contribution was $1323000 in 2026 and benefits paid were $987000. The amount of AOCI (net gain) amortized in 2026 isA company that sponsors a defined benefit plan records an entry to debit OCI-Pension Gain/Loss for $5,000 and credit Plan Assets. The company uses the corridor approach to amortize Accumulated OCI-Pension Gain/Loss. This entry indicates that Select one: O a. The expected return on plan assets exceeded actual return on plan assets. O b. The actual return on plan assets exceeded the expected return on plan assets. O c. The beginning balance in Accumulated OCI-Pension Gain/Loss exceeded the corridor. O d. The beginning balance in Accumulated OCI-Pension Gain/Loss did not exceed the corridor. e. a and c f. b and d OOThe following information relates to the pension plan for the employees of Cullumber Co.: Accum. benefit obligation Projected benefit obligation Fair value of plan assets AOCI - net (gain) or loss Settlement rate (for year) Expected rate of return (for year) O $665200 gain. O $282200 loss. 1/1/20 $110600 gain. $272400 gain. $8140000 8665000 7825000 -0- $ 12/31/20 8560000 9358000 9820000 (1402000 ) 11% 8% 12/31/21 $ 11500000 12907000 10954000 (1570000 ) 11% Cullumber estimates that the average remaining service life is 16 years. Cullumber's contribution was $1213000 in 2021 and benefits paid were $877000. The unexpected gain or loss on plan assets in 2021 is 7%
- The following information relates to the pension plan for the employees of Blossom Co.: Accum, beneht obligation Projected benefit obligation Fair value of plan assets AOCI - net (gain) or loss Settlement rate (for year) Expected rate of return (for year) 1/1/20 The corridor for 2021 is $10240000 10765000 9925000 -0- 12/31/20 $10660000 11458000 11920000 (1612000) 9% 9% 12/31/21 $ 13600000 15007000 13054000 (1780000) 9% 8% Blossom estimates that the average remaining service life is 16 years. Blossom's contribution was $1423000 in 2021 and benefits paid were $1087000.Net interest cost is a component of pension expense under IFRS. How is net interest cost calculated? Select one: O a. The increase in the DBO over the period, net of the increase in the plan assets over the period. O b. Interest expense on the DBO, net of actual interest income earned on plan assets. O c. Interest expense on the defined benefit obligation (DBO), net of expected interest income earned on plan assets. O d. The increase in the DBO over the period, net of the increase in the plan assets over the period.The following information relates to the pension plan for the employees of Cullumber Company: Accum. benefit obligation Projected benefit obligation Fair value of plan assets AOCI - net (gain) or loss Settlement rate (for year) Expected rate of return (for year) The corridor for 2026 is 1/1/25 $1102000. $1073600. $1410700. $1212200. $9340000 9865000 9025000 0 12/31/25 $9760000 10558000 11020000 (1522000) 11% 8% 12/31/26 $12700000 14107000 12154000 (1690000) 11% Cullumber estimates that the average remaining service life is 16 years. Cullumber's contribution was $1323000 in 2026 and benefits paid were $987000. 7%
- For a defined benefit pension plan, pension expense consists of five components, for which the formula is Service Cost – Interest Cost + Expected Return on Plan Assets – Amortization of Prior Service Cost +(–) Gain (Loss). Service Cost + Interest Cost – Expected Return on Plan Assets + Amortization of Prior Service Cost +(–) Gain (Loss). Service Cost + Interest Cost + Expected Return on Plan Assets – Amortization of Prior Service Cost +(–) Gain (Loss). Service Cost – Interest Cost + Expected Return on Plan Assets + Amortization of Prior Service Cost +(–) Gain (Loss).Analyzing Changes in Plan Assets and PBO The following information pertains to a company’s defined benefit plan. Balance Fair value of plan assets, Jan. 1, 2020 $2,000 Dr. Fair value of plan assets, Dec. 31, 2020 2,250 Dr. Projected benefit obligation, Jan. 1, 2020 2,000 Cr. Net pension asset (liability), Dec. 31, 2020 80 Cr. Activity 2020 Actual return on plan assets $120 Contributions to plan assets 180 Service cost 200 Other Discount rate 8% Expected rate of return on plan assets 7% Required a. Calculate benefits paid to retirees in 2020. Note: Do not use a negative sign with your answer.$Answer b. Calculate any actuarial gain or loss on the PBO in 2020.Note: Use a negative sign to indicate a loss. $AnswerThe following data are for the pension plan for the employees of Blossom Company. Accumulated benefit obligation Projected benefit obligation Plan assets (at fair value) AOCL - net loss Settlement rate (for year) Expected rate of return (for year) 1/1/25 $5010000 5410000 O $610000. $400000. O $520000. O $320000. 4610000 The actual return on plan assets in 2026 was 0 12/31/25 $5210000 5610000 6010000 970000 9% 7% 12/31/26 $6810000 7410000 6620000 1010000 8% Blossom's contribution was $850000 in 2026 and benefits paid were $760000. Blossom estimates that the average remaining service life is 15 years. 6%