Ayayal Company sponsors a defined benefit pension plan for its employees. The following data relate to the operation of the plan for the years 2020 and 2021. 2020 2021 Projected benefit obligation, January 1 $570,000 Plan assets (fair value and market-related value), January 1 440,000 Pension asset/liability, January 1 130,000 Cr. Prior service cost, January 1 390,000 Service cost Settlement rate Expected rate of return 70,000 $92,000 8 % 8 % 8 % 8 % Actual return on plan assets 60,000 56,000 Amortization of prior service cost 80,000 119,000 Annual contributions 90,000 95,000 Benefits paid retirees 57,000 61,000 Increase in projected benefit obligation due to changes in actuarial assumptions 146,000 0 Accumulated benefit obligation at December 31 437,000 546,000 Average service life of all employees 12 years Vested benefit obligation at December 31 296,000