answer the following pension lease accounting questions and show work.

Final Exam fall 2016 Take Home Pension workpaper questions. 30 points The following information pertains to Rodney Company's defined benefit pension plan for the year ended December 31, 2016: Service cost for 2016 $ Projected benefit obligation on January 1, 2016 Fair value of pension assets at December 31, 2016 Accumulated other comprehensive income: prior service cost, 12/31/15 Pensions paid during 2016 Employer contributions made to the pension trust in October, 2016 and charged to pension expense Employer contributions owed at December 31, 2016 and made to the pension trust in January, 2017 Market-related value of pension assets at January 1, 2016 Market-related value of pension assets at December 31, 2016 Accumulated other comprehensive income: unexpected gains (losses) at December 31, 2015 Fair value of pension assets at January 1, 2016 Decrease in the projected benefit obligation due to changes in actuarial assumptions as of December 31, 2016 Expected return on pension assets Discount rate Average remaining service period of current employees as of January 1, 2016 (to be used for all amortization situations) 280,000 2,700,000 2,500,000 250,000 375,000 150,000 50,000 2,650,000 2,700,000 300,000 2,400,000 150,000 8% 6% 10 years Required: A. Complete the pension workpaper on page 2. Show (dr) or (cr) next to each amount on the workpaper. The pension workpaper has to be completely typed in order for the points earned on Part B to be received. B. Answer the following questions from the completed workpaper: 1. 2. 3. 4. 5. 6. 7. 8. 9. 10. 11. 12. 13. 14. 15. What is interest cost for 2016? What is the actual return for 2016? What is the expected return for 2016? What is the amount of the unexpected gain (loss) for 2016? What is the amortization of prior service cost for 2016? What is corridor amortization for 2016? What is pension expense for 2016? In the adjusting journal entry at 12/31/16 to record pension expense, what is the amount charged to pension expensehint: $150,000 was charged to pension expense in October, 2016? In the adjusting journal entry at 12/31/16 to record pension expense, what is the amount plugged to pension asset/liability? Refer to the previous question. Is the amount a debit or a credit? In the adjusting journal entry at 12/31/16 to record pension expense, what is the amount debited or credited to OCIunexpected gains (losses)? Refer to previous question. Is the amount a debit or a credit? What is the projected benefit obligation at 12/31/16? What is AOCIPSC at 12/31/16? What is AOCIunexpected gains (losses) at 12/31/16? 1 A. Name: Seat#: Items Annual Pension Expense Cash/ Due to Pension Trust Name: Pension Asset/ Liability 1/1/16 balances 2 Seat#: Other Comprehensive Income PSC Unexpected G/L PBO Pension Assets Final Exam fall 2016 Name: Seat #: Name: B. Answers from worksheet: 1. 2. 3. 4. 5. 6. 7. 8. 9. 10. 11. 12. 13. 14. 15. 3 Seat #: 4