67) Butler Products decided in 2020 to change inventory methods to more effectively report its results of operations. In the past, management has measured its ending inventories by the average-cost method and they now believe that FIFO is a better representation of its profitability. Year Ended December 31, 2018 December 31, 2019 December 31, 2020 FIFO Inventory $250,000 390,000 240,000 Average Cost Inventory $195,000 329,000 190,000 Ignoring income tax, which one of the following journal entries correctly records the change in the accounting principle at January 1, 2020? 59) Merciful Industries has a beginning PBO balance of $900,000 and a settlement rate of 6%. The expected return is 7%. The beginning balance of pension plan assets is $1,000,000. What is the journal entry to record the expected return on plan assets? A) 60) Apple Plumbing reports actual returns on plan assets of $140,000, while the expected return was $121,000. In addition, an employee wellness program has resulted in changes in actuarial assumptions that result in an increase in the PBO of $24,000. What is the journal entry to record the gain on plan assets? 67) Butler Products decided in 2020 to change inventory methods to more effectively report its results of operations. In the past, management has measured its ending inventories by the average-cost method and they now believe that FIFO is a better representation of its profitability. Year Ended December 31, 2018 December 31, 2019 December 31, 2020 FIFO Inventory $250,000 390,000 240,000 Average Cost Inventory $195,000 329,000 190,000 Ignoring income tax, which one of the following journal entries correctly records the change in the accounting principle at January 1, 2020? 59) Merciful Industries has a beginning PBO balance of $900,000 and a settlement rate of 6%. The expected return is 7%. The beginning balance of pension plan assets is $1,000,000. What is the journal entry to record the expected return on plan assets? A) 60) Apple Plumbing reports actual returns on plan assets of $140,000, while the expected return was $121,000. In addition, an employee wellness program has resulted in changes in actuarial assumptions that result in an increase in the PBO of $24,000. What is the journal entry to record the gain on plan assets