1. For Oxford Corporation, year-end plan assets were $2,450,000. At the beginning of the year, plan assets were $3,000,000. During the year, contributions to the fund were $180,000 and actual return on plan assets was $110,000. Benefits paid to retirees were:

Select one: a. $70,000 b. $350,000 c. $480,000 d. $620,000 e. $840,000

2. For a capital lease with no salvage value or bargain purchase option, the amount recorded initially by the lessee as a liability should normally:

Select one:

a. Exceed the total of the minimum lease payments.

b. Exceed the present value of the minimum lease payments at the beginning of the lease.

c. Equal the total of the minimum lease payments.

d. Equal the present value of the minimum lease payments at the beginning of the lease.