(Application of Years-of-Service Method) Valente Company has five employees participating in its defined benefit pension plan. Expected years of future service for these employees at the beginning of 2011 are as follows.

On January 1, 2011, the company amended its pension plan increasing its projected benefit obligation by $60,000.

Instructions Compute the amount of prior service cost amortization for the years 2011 through 2016 using the yearsof-
service method setting up appropriate schedules.

Transcribed Image Text:

Future Employee Years of Service Ed Paul 3 Mary Dave Caroline 4 6 999 6 6