Question
American Airlines reports the following pension and retiree health care (Other) footnote as part of its 10-K report. ($ millions) 2016 2017 2018 Total Assets
American Airlines reports the following pension and retiree health care (Other) footnote as part of its 10-K report.
($ millions) | 2016 | 2017 | 2018 |
---|---|---|---|
Total Assets | $51,274 | $51,396 | $60,580 |
($ millions) | 2016 | 2017 | 2018 |
---|---|---|---|
Fair value of plan assets at beginning of period | $9,707 | $10,017 | $11,395 |
Actual return on plan assets | 915 | 1,797 | (1,151) |
Employer contributions | 32 | 286 | 475 |
Settlements | (2) | (4) | (4) |
Benefit payments | (635) | (726) | (662) |
Other | - | 25 | - |
Fair value of plan assets at end of period | $10,017 | $11,395 | $10,053 |
Use the above information, along with the two prior years information below, to answer the requirements.
$ millions | 2016 | 2017 | 2018 |
---|---|---|---|
Cash contributions to pension plan | $32 | $286 | $475 |
a. Use the three-year average of the employer contribution to pension benefits (in dollar terms) to reformulate the statement of cash flows for each of the three years 2016, 2017, and 2018. See Analyst Adjustments 10.2 for guidance in the reformulation process.
Compute the 3 year average employer contribution to pension benefits.
Round to the nearest whole number.
$Answer
($ millions)
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