On January 1, 2012, Solano Incorporated amended its pension plan, which caused an increase of $3,600,000 in its projected benefit obligation. The company has 400 employees who are expected to receive benefits under the company's defined-benefit pension plan. The personnel department provided the following information regarding expected employee retirements:

Expected Retirements

Number of Employees On December 31

40 .....................................................2012

120 ...................................................2013

60 .....................................................2014

160 ...................................................2015

20 .....................................................2016

400

The company plans to use the years-of-service method in calculating the amortization of prior service cost as a component of pension expense.

Instructions

Prepare a schedule, which shows the amount of annual prior service cost amortization that the company will recognize as a component of pension expense from 2012 through 2016.