Professional Simulation In this simulation, you are asked to address questions related to the accounting for pensions. Prepare responses to all parts.

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KWW Professional Simulation Accounting for Pensions Time Remaining 2 hours 20 minutes E Directions Sustion Mesurement Journal Entry Disclosuresources Melanie Vail Corp. sponsors a defined benefit pension plan for its employees. On January 1, 2015, the following balances relate to this plan. Plan assets Defined benefit obligation Pension asset/liability $480,000 625,000 145,000 Cr. As a result of the operation of the plan during 2015, the following additional data are provided by the actuary for 2015. Service cost $90,000 Discount (interest) rate 9% Actual return on plan assets 57,000 Unexpected loss from change in defined benefit obligation, due to change in actuarial predictions 76,000 Contributions Benefits paid retirees 99,000 85,000 Diction Measurement Journal Entry Disclosure Resources (a) Use a computer to prepare a pension worksheet. On the pension worksheet, compute pension expense, pension asset/liability, defined benefit obligation, plan assets, and other comprehensive income. (b) Compute the same items as in (a), assuming that the discount rate is now 7%. Directions Ston Measurement Journal Entry Disclosure Resources Prepare the journal entry to record pension expense in 2015. Diction Shuxton Mesurement Journal Entry Disclosure PesoUFCE Prepare a schedule reconciling the funded status of the plan with the pension amount reported on the statement of financial position. DIC