The following information relates to the contributory, defined pension plan of Klarbrun Inc.

Required

a. Prepare the portion of the pension disclosure showing the components of pension expense.

b. Prepare the portion of the pension disclosure showing the reconciliation of the projected benefit obligation, plan assets, and funded balance.

c. Prepare the statement of comprehensive income, assuming there are no other OCI items except those related to pensions.

d. Determine the ending balance in accumulated other comprehensive loss.

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Account Balances Jan. 1, 2020 Projected Benefit Obligation.. $75,000 Cr. Plan Assets... 78,750 Dr. Accumulated OCI-Prior Service Cost... 49,500 Dr. Service cost Interest cost Activity Prior service cost amortization. 2020 $ 49,000 6,000 500 Actual return on plan assets (same as expected return). 4,725 Cash funding by company. 37,500 Cash funding by plan participants 10,000 Pension benefits paid to retirees 5,000 Net income...... 500,000