Chen Group sponsors a defined benefit pension plan for its employees. On January 1, 2022, the following balances related to this plan (amounts in thousands).

As a result of the operation of the plan during 2022, the actuary provided the following additional data at December 31, 2022.

Service cost for 2022 ........................................... ¥45,000
Actual return on plan assets in 2022 ................... 27,000
Contributions in 2022 ............................................ 65,000
Benefits paid retirees in 2022 ............................... 41,000
Discount (interest) rate ................................................ 7%

Instructions

a. Compute pension expense for Chen Group for the year 2022 by preparing a pension worksheet that shows the journal entry for pension expense.

b. Indicate the pension amounts reported in the financial statements.

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Plan assets (fair value) ¥270,000 Defined benefit obligation 340,000 Pension asset/liability 70,000 Cr. OCI-Loss 39,000