Actuary and trustee reports indicate the following changes in the PBO and plan assets of Douglas-Roberts Industries during 2021: Prior service cost at Jan. 1, 2021, from plan amendment at the beginning of 2018 (amortization: $6 million per year) Net loss-AOCI at Jan. 1, 2021 (previous losses exceeded previous gains) Average remaining service life of the active employee group Actuary's discount rate $ 42 million $250 million 10 years 7% ($ in millions) PBO Beginning of 2021 Service cost $ 700 72 Plan Assets Beginning of 2021 Return on plan assets, 8% (10% expected) $ 500 40 Interest cost, 7% Loss (gain) on PBO Less: Retiree benefits End of 2021 49 (20) (41) $ 760 Cash contributions Less: Retiree benefits End of 2021 107 (41) $ 606 Required: 1-a. Determine Douglas-Roberts's pension expense for 2021. 1-b, 2. to 4. Prepare the appropriate journal entries to record the pension expense, to record any 2021 gains and losses, to record the cash contribution to plan assets and to record retiree benefits. Complete this question by entering your answers in the tabs below. Reg 1A Reg 1B and 2 to 4 Determine Douglas-Roberts's pension expense for 2021. (Amounts to be deducted should be indicated with a minus sign. Enter your answers in millions (i.e., 10,000,000 should be entered as 10).) Pension Expense Pension expense PBO ($ in millions) Beginning of 2021 Service cost $ 500 Plan Assets $ 700 Beginning of 2021 72 Return on plan assets, 8% (10% expected) 49 (20) Cash contributions (41) Less: Retiree benefits $ 760 End of 2021 40 Interest cost, 7% Loss (gain) on PBO Less: Retiree benefits End of 2021 107 (41) $ 606 Required: 1-a. Determine Douglas-Roberts's pension expense for 2021. 1-b, 2. to 4. Prepare the appropriate journal entries to record the pension expense, to record any 2021 gains and losses, to record the cash contribution to plan assets and to record retiree benefits. Complete this question by entering your answers in the tabs below. Req 1A Req 18 and 2 to 4 Prepare the appropriate journal entries to record the pension expense, to record any 2021 gains and losses, to record the cash contribution to plan assets and to record retiree benefits. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field. Enter your answers in millions (i.e., 10,000,000 should be entered as 10).) View transaction list Journal entry worksheet Record annual pension expense. Note: Enter debits before credits. General Journal Debit Credit Event 1 ($ in millions) PBO Beginning of 2021 Service cost Plan Assets Beginning of 2021 Return on plan assets, 8% (10% expected) $ 700 72 $ 500 40 49 Interest cost, 7% Loss (gain) on PBO Less: Retiree benefits End of 2021 (20) Cash contributions (41) Less: Retiree benefits $760 End of 2021 107 (41) $ 606 Required: 1-a. Determine Douglas-Roberts's pension expense for 2021. 1-b, 2. to 4. Prepare the appropriate journal entries to record the pension expense, to record any 2021 gains and losses, to record the cash contribution to plan assets and to record retiree benefits. Complete this question by entering your answers in the tabs below. Req 1A Reg 1B and 2 to 4 Prepare the appropriate journal entries to record the pension expense, to record any 2021 gains and losses, to record the cash contribution to plan assets and to record retiree benefits. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field. Enter your answers in millions (i.e., 10,000,000 should be entered as 10).) View transaction list Journal entry worksheet Record the change in plan assets. Note: Enter debits before credits. General Journal Debit Credit Event 2 ($ in millions) PBO Beginning of 2021 Service cost Plan Assets Beginning of 2021 Return on plan assets, 8% (10% expected) $ 700 72 $ 500 40 Interest cost, 7% Loss (gain) on PBO Less: Retiree benefits End of 2021 49 (20) (41) $ 760 Cash contributions Less: Retiree benefits End of 2021 107 (41) $ 606 Required: 1-a. Determine Douglas-Roberts's pension expense for 2021. 1-b, 2. to 4. Prepare the appropriate journal entries to record the pension expense, to record any 2021 gains and losses, to record the cash contribution to plan assets and to record retiree benefits. Complete this question by entering your answers in the tabs below. Reg 1A Reg 1B and 2 to 4 Prepare the appropriate journal entries to record the pension expense, to record any 2021 gains and losses, to record the cash contribution to plan assets and to record retiree benefits. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field. Enter your answers in millions (i.e., 10,000,000 should be entered as 10).) View transaction list Journal entry worksheet Record the change in the PBO. Note: Enter debits before credits. General Journal Debit Credit Event 3 ($ in millions) PBO Beginning of 2021 Service cost Plan Assets Beginning of 2021 Return on plan assets, 8% (10% expected) $ 700 72 $ 500 40 Interest cost, 7% Loss (gain) on PBO Less: Retiree benefits End of 2021 49 (20) (41) $ 760 Cash contributions Less: Retiree benefits End of 2021 107 (41) $ 606 Required: 1-a. Determine Douglas-Roberts's pension expense for 2021. 1-b, 2. to 4. Prepare the appropriate journal entries to record the pension expense, to record any 2021 gains and losses, to record the cash contribution to plan assets and to record retiree benefits. Complete this question by entering your answers in the tabs below. Reg 1A Reg 1B and 2 to 4 Prepare the appropriate journal entries to record the pension expense, to record any 2021 gains and losses, to record the cash contribution to plan assets and to record retiree benefits. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field. Enter your answers in millions (i.e., 10,000,000 should be entered as 10).) View transaction list Journal entry worksheet Record the cash contribution to plan assets. Note: Enter debits before credits. Event General Journal Debit Credit 4 ($ in millions) PBO Beginning of 2021 Service cost $ 700 72 Plan Assets Beginning of 2021 Return on plan assets, 8% (10% expected) $ 500 40 Interest cost, 7% Loss (gain) on PBO Less: Retiree benefits End of 2021 49 (20) (41) $ 760 Cash contributions Less: Retiree benefits End of 2021 107 (41) $ 606 Required: 1-a. Determine Douglas-Roberts's pension expense for 2021. 1-b, 2. to 4. Prepare the appropriate journal entries to record the pension expense, to record any 2021 gains and losses, to record the cash contribution to plan assets and to record retiree benefits. Complete this question by entering your answers in the tabs below. Reg 1A Req 18 and 2 to 4 Prepare the appropriate journal entries to record the pension expense, to record any 2021 gains and losses, to record the cash contribution to plan assets and to record retiree benefits. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field. Enter your answers in millions (i.e., 10,000,000 should be entered as 10).) View transaction list Journal entry worksheet Record the retiree benefits paid. Note: Enter debits before credits. Event General Journal Debit Credit 5
