Brief Exercise 20-3

At January 1, 2017, Sheffield Company had plan assets of $296,500 and a projected benefit obligation of the same amount. During 2017, service cost was $28,400, the settlement rate was 10%, actual and expected return on plan assets were $24,200, contributions were $19,900, and benefits paid were $17,500. Prepare a pension worksheet for Sheffield Company for 2017.

SHEFFIELD COMPANY General Journal Entries Memo Record Items Pension Expense Cash Pension Asset/Liability Projected Benefit Obligation Plan Assets 1/1/17 $ Dr. Cr. $ Dr. Cr. $ Dr. Cr. $ Dr. Cr. $ Dr. Cr. Service cost Dr. Cr. Dr. Cr. Dr. Cr. Dr. Cr. Dr. Cr. Interest cost Dr. Cr. Dr. Cr. Dr. Cr. Dr. Cr. Dr. Cr. Actual return Dr. Cr. Dr. Cr. Dr. Cr. Dr. Cr. Dr. Cr. Contributions Dr. Cr. Dr. Cr. Dr. Cr. Dr. Cr. Dr. Cr. Benefits Dr. Cr. Dr. Cr. Dr. Cr. Dr. Cr. Dr. Cr. Journal entry, 12/31/17 $ Dr. Cr. $ Dr. Cr. Dr. Cr. Dr. Cr. Dr. Cr. Balance, 12/31/17 $ Cr. Dr. $ Dr. Cr. $ Dr. Cr.