3. Sliding Doors, Ltd. provided you with the following information regarding its defined benefit pension plan. (Click the icon to view the information.) Read the requirements Requirement a. Prepare the separate "conceptual" journal entries for the preceding relevant information. (Abbreviation used: OCI = Other Comprehensive Income. Record debits first, then credits. Exclude explanations from any journal entries. If no entry is required select "No Entry Required" on the first line of the journal entry table and leave all remaining cells in the table blank.) Begin by preparing the required conceptual journal entry, if any, for service costs for the current year. Current Year Account (1) (2) (3) (4) Prepare the required conceptual journal entry, if any, for the prior service costs awarded during the current year. Exclude any amortization of prior service costs. Account Current Year (5) (6) (7) (8) Prepare the required conceptual journal entry, if any, for amortization of prior service costs. Current Year Account (9) (10) (11) (12) Prepare the required conceptual journal entry, if any, for interest on the projected benefit obligation (PBO). Current Year Account (13) (14) (15) (16) Prepare the required conceptual journal entry, if any, for the expected return on plan assets. Account Current Year (17) (18) (19) (20) Prepare the required conceptual journal entry, if any, for the unexpected return on plan assets. Current Year Account (21) (22) (23) (24) Prepare the required conceptual journal entry, if any, to adjust the PBO for changes in actuarial assumptions. Current Year Account (25) (26) (27) (28) Prepare the required conceptual journal entry, if any, to amortize the net actuarial gains or losses under the corridor approach. Current Year Account (29) (30) (31) (32) Prepare the required conceptual journal entry, if any, to record contributions made to the plan during the year. Current Year Account (33) (34) (35) (36) Prepare the required conceptual journal entry, if any, to record any benefit payments made to retirees during the year. Account Current Year (37) (38) (39) (40) Requirement b. Compute the total pension cost for the year. Select the labels and enter the amounts for all items that are included in the pension cost for the year. (Use parentheses or a minus sign for items that reduce pension cost. If a box is not used in the table leave the box empty; do not select a label or enter a zero.) Review the conceptual journal entries from Requirement a. Amount Components of Pension Cost: (41) (42) (43) (44) (45) (46) Total Pension Cost Requirement c. Determine the ending balances of the plan assets and the projected benefit obligation and indicate the funded status of the plan. Begin by selecting the labels and entering the amounts to determine the ending balance of the projected benefit obligation. (Use parentheses or a minus sign for credit balances and for items that increase the benefit obligation. If a box is not used in the table leave the box empty; do not select a label or enter a zero.) Review the conceptual journal entries from Requirement a. Amount Change in Benefit Obligation: (47) (48) (49) |(50) (51) (52) Ending Balance of PBO Select the labels and enter the amounts to determine the balance of the plan assets at the end of the year. (Use parentheses or a minus sign for items that reduce plan assets. If a box is not used in the table leave the box empty; do not select a label or enter a zero.) Review the conceptual journal entries from Requirement a. Change in Plan Assets: Amount (53) (54) (55) (56) (57) (58) Ending Balance of Plan Assets Indicate the funded status of the plan. The ending funded status of the plan is a $ (59) Requirement d. Prepare the journal entry to record the current year's pension cost. (Abbreviations used: OCI = Other Comprehensive Income. Record debits first, then credits. Exclude explanations from any journal entries. If a beginning net pension asset becomes a net pension liability at the end of the year, be sure to reverse the net pension asset to zero before recording the net pension liability. If a beginning net pension liability becomes a net pension asset at the end of the year, be sure to reverse the net pension liability to zero before recording the net pension asset.) Review the conceptual journal entries from Requirement a. Current Year Account (60) (61) (62) (63) (64) (65) (66) 1: More Info Beginning plan assets at fair value (market-related value) $610,000 Beginning projected benefit obligation (PBO), $540,000 Service cost for the year, $125,000 Settlement rate, 10% Expected return on plan assets, 8% Actual return on plan assets, $20,000 loss Contributions for the year, 547,200 Benefit payments for the year, 594,100 Beginning accumulated other comprehensive income, $44,000 (due to unamortized net actuarial gains) Prior service costs awarded during the year (not effective as of the beginning of the year) for vested employees, $20,000 Amortization of prior service costs, $8,500 Decrease in the ending projected benefit obligation due to changes in actuarial assumptions (i.e., actuarial gain), $11,000 Average remaining service life of the employee base, 5 years 2: Requirements a. Prepare the separate "conceptual journal entries for the preceding relevant information. b. Compute the total pension cost for the year. c. Determine the ending balances of the plan assets and the projected benefit obligation and indicate the funded status of the plan. d. Prepare the journal entry to record the current year's pension cost. 3. Sliding Doors, Ltd. provided you with the following information regarding its defined benefit pension plan. (Click the icon to view the information.) Read the requirements Requirement a. Prepare the separate "conceptual" journal entries for the preceding relevant information. (Abbreviation used: OCI = Other Comprehensive Income. Record debits first, then credits. Exclude explanations from any journal entries. If no entry is required select "No Entry Required" on the first line of the journal entry table and leave all remaining cells in the table blank.) Begin by preparing the required conceptual journal entry, if any, for service costs for the current year. Current Year Account (1) (2) (3) (4) Prepare the required conceptual journal entry, if any, for the prior service costs awarded during the current year. Exclude any amortization of prior service costs. Account Current Year (5) (6) (7) (8) Prepare the required conceptual journal entry, if any, for amortization of prior service costs. Current Year Account (9) (10) (11) (12) Prepare the required conceptual journal entry, if any, for interest on the projected benefit obligation (PBO). Current Year Account (13) (14) (15) (16) Prepare the required conceptual journal entry, if any, for the expected return on plan assets. Account Current Year (17) (18) (19) (20) Prepare the required conceptual journal entry, if any, for the unexpected return on plan assets. Current Year Account (21) (22) (23) (24) Prepare the required conceptual journal entry, if any, to adjust the PBO for changes in actuarial assumptions. Current Year Account (25) (26) (27) (28) Prepare the required conceptual journal entry, if any, to amortize the net actuarial gains or losses under the corridor approach. Current Year Account (29) (30) (31) (32) Prepare the required conceptual journal entry, if any, to record contributions made to the plan during the year. Current Year Account (33) (34) (35) (36) Prepare the required conceptual journal entry, if any, to record any benefit payments made to retirees during the year. Account Current Year (37) (38) (39) (40) Requirement b. Compute the total pension cost for the year. Select the labels and enter the amounts for all items that are included in the pension cost for the year. (Use parentheses or a minus sign for items that reduce pension cost. If a box is not used in the table leave the box empty; do not select a label or enter a zero.) Review the conceptual journal entries from Requirement a. Amount Components of Pension Cost: (41) (42) (43) (44) (45) (46) Total Pension Cost Requirement c. Determine the ending balances of the plan assets and the projected benefit obligation and indicate the funded status of the plan. Begin by selecting the labels and entering the amounts to determine the ending balance of the projected benefit obligation. (Use parentheses or a minus sign for credit balances and for items that increase the benefit obligation. If a box is not used in the table leave the box empty; do not select a label or enter a zero.) Review the conceptual journal entries from Requirement a. Amount Change in Benefit Obligation: (47) (48) (49) |(50) (51) (52) Ending Balance of PBO Select the labels and enter the amounts to determine the balance of the plan assets at the end of the year. (Use parentheses or a minus sign for items that reduce plan assets. If a box is not used in the table leave the box empty; do not select a label or enter a zero.) Review the conceptual journal entries from Requirement a. Change in Plan Assets: Amount (53) (54) (55) (56) (57) (58) Ending Balance of Plan Assets Indicate the funded status of the plan. The ending funded status of the plan is a $ (59) Requirement d. Prepare the journal entry to record the current year's pension cost. (Abbreviations used: OCI = Other Comprehensive Income. Record debits first, then credits. Exclude explanations from any journal entries. If a beginning net pension asset becomes a net pension liability at the end of the year, be sure to reverse the net pension asset to zero before recording the net pension liability. If a beginning net pension liability becomes a net pension asset at the end of the year, be sure to reverse the net pension liability to zero before recording the net pension asset.) Review the conceptual journal entries from Requirement a. Current Year Account (60) (61) (62) (63) (64) (65) (66) 1: More Info Beginning plan assets at fair value (market-related value) $610,000 Beginning projected benefit obligation (PBO), $540,000 Service cost for the year, $125,000 Settlement rate, 10% Expected return on plan assets, 8% Actual return on plan assets, $20,000 loss Contributions for the year, 547,200 Benefit payments for the year, 594,100 Beginning accumulated other comprehensive income, $44,000 (due to unamortized net actuarial gains) Prior service costs awarded during the year (not effective as of the beginning of the year) for vested employees, $20,000 Amortization of prior service costs, $8,500 Decrease in the ending projected benefit obligation due to changes in actuarial assumptions (i.e., actuarial gain), $11,000 Average remaining service life of the employee base, 5 years 2: Requirements a. Prepare the separate "conceptual journal entries for the preceding relevant information. b. Compute the total pension cost for the year. c. Determine the ending balances of the plan assets and the projected benefit obligation and indicate the funded status of the plan. d. Prepare the journal entry to record the current year's pension cost