Sheridan Company | |||||
a) | Service cost | $ 79,000.00 | |||
Interest on project benefit obligation($1508000*10%) | $ 1,50,800.00 | ||||
Expected return on plan assets($807000*10%) | $ -80,700.00 | ||||
Amortization of prior service cost | $ 1,21,800.00 | ||||
Pension Expense | $ 2,70,900.00 | ||||
b) | General,Journal | Debit | Credit | ||
Pension Expense | $ 2,70,900.00 | ||||
Pension Assets/Liability (balancing figure)=($121800+$200800+$251000-$270900) | $ 3,02,700.00 | ||||
To Other comprehensive income-Prior service cost | $ 1,21,800.00 | ||||
To Other comprehensive income-(G/L) | $ 2,00,800.00 | ||||
To Cash | $ 2,51,000.00 | ||||
(Amount of Pension expense & contribution) | |||||
c) | Sheridan Company | ||||
Income Statement | |||||
Pension Expense | $ 2,70,900.00 | ||||
Comprehensive Income statement | |||||
Net Income | **** | ||||
Other comprehensive income/loss | |||||
Amortization of prior service cost | $ 1,21,800.00 | ||||
Liability gain | $ 2,00,800.00 | $ 3,22,600.00 | |||
Comprehensive Income | ***** | ||||
Sheridan Company | |||||
d) | Balance Sheet(Partial) | ||||
Liabilities | |||||
Pension Liability(Project benefit obligation-fair value of plan assets)=($1537000-$1138700) | $ 3,98,300.00 | ||||
Stockholder's Equity | |||||
Accumulated OCI (Prior service cost)=($1218000-$121800) | $ 10,96,200.00 | ||||
Accumulated OCI (G/L) | $ 2,00,800.00 |
Question 3 --/1 View Policies Current Attempt in Progress Sheridan Company received the following selected information...
Ayayai Company received the following selected information from its pension plan trustee concerning the operation of the company’s defined benefit pension plan for the year ended December 31, 2020. January 1, 2020 December 31, 2020 Projected benefit obligation $1,499,000 $1,527,000 Market-related and fair value of plan assets 802,000 1,127,200 Accumulated benefit obligation 1,622,000 1,742,500 Accumulated OCI (G/L)—Net gain 0 (199,900 ) The service cost component of pension expense for employee services rendered in the current year amounted to $78,000 and...
* Question 2 Martinez Company received the following selected information from its pension plan trustee concerning the operation of the company’s defined benefit pension plan for the year ended December 31, 2020. January 1, 2020 December 31, 2020 Projected benefit obligation $1,488,000 $1,514,000 Market-related and fair value of plan assets 809,000 1,135,900 Accumulated benefit obligation 1,600,000 1,718,800 Accumulated OCI (G/L)—Net gain 0 (198,800 ) The service cost component of pension expense for employee services rendered in the current year amounted...
Exercise 20-12 Windsor Company received the following selected information from its pension plan trustee concerning the operation of the company's defined benefit pension plan for the year ended December 31, 2017 Projected benefit obligation Market-related and fair value of plan assets Accumulated benefit obligation Accumulated OCI (G/L)-Net gain January 1, 2017 $1,525,000 794,000 1,605,000 0 December 31, 2017 $1,553,000 1,124,400 1,724,400 (202,500) The service cost component pension expense for employee services rendered in the current year amounted to $78,000 and...
Question Shamrock Company received the following selected information from its pension plan trustee concerning the operation of the company's defined benefit pension plan for the year ended December 31, 2017. December 31, 2017 January 1, 2017 $1,491,000 $1,517,000 Projected benefit obligation Market-related and fair value of plan assets Accumulated benefit obligation 804,000 1,138,400 1,587,000 1,704,700 Accumulated OCI (G/L)-Net gain (199,100 ) The service cost component of pension expense for employee services rendered in the current year amounted to $76,000 and...
Question 4 --/1 View Policies Current Attempt in Progress Sunland Inc. has sponsored a noncontributory, defined benefit pension plan for its employees since 1997. Prior to 2020, cumulative net pension expense recognized equaled cumulative contributions to the plan. Other relevant information about the pension plan on January 1, 2020, is as follows. 1. The company has 200 employees. All these employees are expected to receive benefits under the plan. The average remaining service life per employee is 12 years. 2....
Exercise 20-12 Ferreri Company received the following selected information from its pension plan trustee concerning the operation of the company's defined benefit pension plan for the year ended December 31, 2017.January 1, 2017 $1,500,000 800,000 1,600,000 December 31, 2017 Projected benefit obligation $1,527,000 Market-related and fair value of plan assets Accumulated benefit obligation 1,130,000 1,720,000 (200,000) Accumulated OCI (G/L)-Net gain The service cost component of pension expense for employee services rendered in the current year amounted to $77,000 and the amortization of...
Pronghorn Company received the following selected information from its pension plan trustee concerning the operation of the company’s defined benefit pension plan for the year ended December 31, 2017. January 1, 2017 December 31, 2017 Projected benefit obligation $1,515,000 $1,541,000 Market-related and fair value of plan assets 816,000 1,152,600 Accumulated benefit obligation 1,631,000 1,751,000 Accumulated OCI (G/L)—Net gain 0 (201,500 ) The service cost component of pension expense for employee services rendered in the current year amounted to $76,000 and...
Sheridan, Inc. received the following information from its pension plan trustee concerning the operation of the company's defined benefit pension plan for the year ended December 31, 2021: Projected benefit obligation Fair value of plan assets Accumulated benefit obligation Accumulated OCI-(PSC) January 1, 2021 $2,570,000 1.320,000 1.937,000 547,000 December 31, 2021 $2.920,000 1,670,000 2,627.000 303,500 The service cost component for 2021 is $143.500 and the amortization of prior service cost is $243,500. The company's actual funding of the plan in...
Question 2 --/1 View Policies Current Attempt in Progress Sarasota Company sponsors a defined benefit pension plan for its employees. The following data relate to the operation of the plan for the year 2020 in which no benefits were paid. 1. The actuarial present value of future benefits earned by employees for services rendered in 2020 amounted to $56,100. 2. The company's funding policy requires a contribution to the pension trustee amounting to $136,572 for 2020. 3. As of January...
Exercise 20-11 (Part Level Submission) Larkspur Company sponsors a defined benefit pension plan for its employees. The following data relate to the operation of the plan for the year 2020 in which no benefits were paid. 1. The actuarial present value of future benefits earned by employees for services rendered in 2020 amounted to $55,500. 2. The company's funding policy requires a contribution to the pension trustee amounting to $137,228 for 2020. 3. As of January 1, 2020, the company...