Assignment on Chapter 18, 19, 20 - Due on Dec 2, 2023 #6. On Dec 31, 2021, the following information was provided by the Nakira corporation pension plan administrator: Fair value of plan assets Projected benefit obligation Accumulated benefit obligation $5,400,000 6,300,000 6,700,000 Instruction a. What is the amount of the Pension Asset/Liability that should be reported on Babson's December 31, 2021 balance sheet? - Show the computation below b. Indicate if the Pension Asset/Liability is Overfunded or Underfunded #7. Wilkins Inc. received the following information from its pension plan trustee concerning the operation of the company's defined-benefit pension plan for the year ended December 31, 2021: Projected benefit obligation Fair value of plan assets Accumulated benefit obligation January 1, 2021 $2,500,000 1,250,000 1,930,000 December 31, 2021 $2,850,000 1,600,000 2,620,000 The service cost component for 2021 is $120,000 and the amortization of prior service cost is $350,000. The company's actual funding of the plan in 2021 amounted to $600,000. The expected return on plan assets and the settlement rate were both 8%. Instructions (a) Determine the pension expense to be reported in 2021. TOTAL PENSION EXPENSE (b) Prepare the journal entry to record pension expense and Company's contribution to the pension plan in 2021. Debit Credit