Herring Wholesale Company has a defined benefit pension plan. On January 1, 2021, the following pension-related data were available: ($ in thousands) Net gain-AOCI $ 170 Accumulated benefit obligation Projected benefit obligation 1,170 1,400 Fair value of plan assets 1,100 Average remaining service period of active employees (expected to remain constant for the next several years) 15 years The rate of return on plan assets during 2021 was 9%, although it was expected to be 10%. The actuary revised assumptions regarding the PBO at the end of the year, resulting in a $23,000 decrease in the estimate of that obligation. Required:

Herring Wholesale Company has a defined benefit pension plan. On January 1, 2021, the following pension-related data were available: ($ in thousands) Net gain-AOCI $ 170 Accumulated benefit obligation Projected benefit obligation 1,170 1,400 Fair value of plan assets 1,100 Average remaining service period of active employees (expected to remain constant for the next several years) 15 years The rate of return on plan assets during 2021 was 9%, although it was expected to be 10%. The actuary revised assumptions regarding the PBO at the end of the year, resulting in a $23,000 decrease in the estimate of that obligation. Required:

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 4E

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