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IO 1 CO Pension data for Barry Financial Services Inc. include the following: (S in 000s) Discount rate, 74 10 Expected return on plan Actual return on plan assets, 98 Service cost, 2018 sets, 10 points 340 January 1, 2018: Projected benefit obligation Accumulated benefit obligation Plan assets (fair value) Prior service cost-AOCI (2018 amortization, $40) Net gain-AOCI (2018 amortization, $6) There were no changes in actuarial assumptions. December 31, 2018: Cash contributions to pension fund, December 31, 2018 Benefit payments to retirees, December 31, 2018 2,450 2,150 2,550 340 eBook 360 Hint 275 300 Print Required: 1. Determine pension expense for 2018. 2. Prepare the journal entries to record pension expense, gains and losses (if any), funding, and retiree benefits for 2018. References Complete this question by entering your answers in the tabs below. Required 1 Required 2 Determine pension expense for 2018. (Amounts to be deducted should be indicated with a minus sign. Enter your answers in thousands rounded to 1 decimal place (i.e., 5,500 should be entered as 5.5).) Pension Expense Complete this question by entering your answers in the tabs below. Required 1 Required 2 Determine pension expense for 2018. (Amounts to be deducted should be indicated with a minus sign. Enter your answers in thousands rounded to 1 decimal place (i.e., 5,500 should be entered as 5.5).) Pension Expense Pension expense 0.0 Required 2 V Required 1 Required 2 Prepare the journal entries to record pension expense, gains and losses (if any), funding, and retiree benefits for 2018. (If no entry is required for a transaction/event, select "No jounal entry required" in the first account field. Enter your answers in thousands rounded to 1 decimal place (1.e., 5,500 should be entered as 5.5).) 10 points View transaction list eBook Journal entry worksheet 1 3 4 Hint Record the pension expense. Note: Enter debits before credits. References Event General Journal Debit Credit 1 Record entry Clear entry View general journal 00 Required 1 Required 2 Prepare the journal entries to record pension expense, gains and losses (if any), funding, and retiree benefits for 2018. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field. Enter your answers in thousands rounded to 1 decimal place (l.e., 5,500 should be entered as 5.5).) 10 points View transaction list Journal entry worksheet eBook Hint Record the funding. Print Note: Enter debits before credits. References Event General Journal Debit Credit 3 Record entry Clear entry View general journal 0 Required 1 Required 2 Prepare the journal entries to record pension expense, gains and losses (if any),, funding, and retiree benefits for 2018. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field. Enter your answers in thousands rounded to 1 decimal place (i.e., 5,500 should be entered as 5.5).) 10 points View transaction list eBook Journal entry worksheet 2 3 4 Hint Record the retiree benefits. Print Note: Enter debits before credits. References Event General Journal Debit Credit 4 Record entry Clear entry View general journal 00 Pension data for Barry Financial Services Inc. include the following: ($ in 000s) Discount rate, 78 Expected return on plan assets, 10% Actual return on plan assets, 98 Service cost, 2018 January 1, 2018: Projected benefit obligation Accumulated benefit obligation Plan assets (fair value) Prior service cost--AOCI (2018 amortization, $40) Net gain-AOCI (2018 amortization, $6) There were no changes in actuarial assumptions. December 31, 2018: Cash contributions to pension fund, December 31, 2018 Benefit payments to retirees, December 31, 2018 10 points 340 Skipped 2,450 2,150 2,550 340 eBook 360 275 Hint 300 Required: 1. Determine pension expense for 2018. 2. Prepare the journal entries to record pension expense, gains and losses (if any), funding, and retiree benefits for 2018. Print References Complete this question by entering your answers in the tabs below. Required 1 Required 2 Determine pension se for 2018. (Amounts to be deducted should be indicated with a minus sign. Enter your answers n Cash contributions to pension fund, December 31, 2018 Benefit payments to retirees, December 31, 2018 points 275 300 Skipped Required: 1. Determine pension expense for 2018. 2. Prepare the journal entries to record pension expense, gains and losses (if any), funding, and retiree benefits for 2018. eBook Complete this question by entering your answers in the tabs below. Hint Required 1 Required 2 Print Determine pension expense for 2018. (Amounts to be deducted should be indicated with a minus sign. Enter your answers in thousands rounded to 1 decimal place (i.e., 5,500 should be entered as 5.5).) References Pension Expense Pension expense 0.0 Required 2> 00 149 Che Complete this question by entering your answers in the tabs below. points Required 1 Required 2 Skipped Prepare the journal entries to record pension expense, gains and losses (if any), funding, and retiree benefits for 2018. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field. Enter your answers in thousands rounded to 1 decimal place (i.e., 5,500 should be entered as 5.5).) eBook View transaction list Hint Journal entry worksheet Print 1 2 4 Record the pension expense. References Note: Enter debits before credits. Event General Journal Debit Credit 1 00 Complete this question by entering your answers in the tabs below. 10 points Required 1 Required 2 Skipped Prepare the journal entries to record pension expense, gains and losses (if any), funding, and retiree benefits for 2018. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field. Enter your answers in thousands rounded to 1 decimal place (i.e., 5,500 should be entered as 5.5).) eBook View transaction list Hint Journal entry worksheet Print 1 2 3 4 Record the gain or loss on assets. References Note: Enter debits before credits. Event General Journal Debit Credit 2 00 Complete this question by entering your answers in the tabs below. 10 points Required 1 Required 2 Skipped Prepare the journal entries to record pension expense, gains and losses (if any), funding, and retiree benefits for 2018. (If no required for a transaction/event, select "No journal entry required" in the first account field. Enter your answers in thousands 1 decimal place (1.e., 5,500 should be entered as 5.5).) eBook View transaction list Hint Journal entry worksheet Print 1 2 4 Record the funding. References Note: Enter debits before credits. Event General Journal Debit Credit 3 00 Complete this question by entering your answers in the tabs below. 10 points Required 1 Required 2 Skipped Prepare the journal entries to record pension expense, gains and losses (if any), funding, and retiree benefits for 2018. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field. Enter your answers in thousands rounded to 1 decimal place (i.e., 5,500 should be entered as 5.5).) eBook View transaction list Hint Journal entry worksheet Print

Answer 1

Part 1

Pension expense

Service cost	340
Interest cost (2450*7%)	171.5
Expected return on assets (2550*10%)	(255)
Amortization of prior service cost	40
Amortization of net gain	(6)
Pension expense	$290.5

Part 2

Event	General journal	Debit	Credit
1	Pension expense	290.5
	Plan assets	255
	Amortization of net gain—OCI	6
	Amortization of prior service cost—OCI		40
	PBO (340+171.5)		511.5
	(to record pension expense)
2	Loss—OCI	25.5
	Plan assets (10%*2550)-(9%*2550)		25.5
	(to record the gain or loss on assets)
3	Plan assets	275
	Cash		275
	(to record the funding)
4	PBO	300
	Plan assets		300
	(to record the retiree benefits)