Assignment #4 - Pension

, assuming that Easton reports under IFRS. Easton Corporation reports the following January 1, 2017 balances for its defined benefit pension plan:

Plan assets: $460,000

Defined benefit obligation: $460,000.

Other data relating to three years of operation of the plan are as follows:

	2017	2018	2019
Annual service cost	$36,800	$43,700	$59,800
Discount rate	10%	10%	10%
Actual return on plan assets	39,100	50,370	55,200
Funding of current service cost	36,800	43,700	59,800
Funding of past service cost		69,000	80,500
Benefits paid	32,200	37,720	48,300
Past service cost (plan amended, 1/1/18)		368,000
Change in actuarial assumptions establishes a December 31, 2019 defined benefit obligation of			1,196,000

Required:

1. Prepare and complete a pension work sheet for 2017, 2018, and 2019
2. Prepare a continuity schedule of the projected benefit obligation over the three-year period.
3. Prepare a continuity schedule of the plan assets over the three-year period.
4. Determine the pension expense for each of 2017, 2018, and 2019.
5. Prepare the journal entries to reflect the pension plan transactions and events for each year.
6. Prepare a schedule reconciling the pension plan's surplus or deficit with the pension amounts reported on the statement of financial position over the three-year period.
7. Had Easton reported under ASPE, how would its pension accounting been different? (Hint: how would the pension expense for each of 2017, 2018, and 2019 have been different?)