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Buffalo Company adopts acceptable accounting for its defined benefit pension plan on January 1, 2019, with the following beginning balances: plan assets $198,400; projected benefit
Buffalo Company adopts acceptable accounting for its defined benefit pension plan on January 1, 2019, with the following beginning balances: plan assets $198,400; projected benefit obligation $248,000. Other data relating to 3 years operation of the plan are as follows.
2019 | 2020 | 2021 | |||||||
Annual service cost | $16,300 | $19,100 | $26,100 | ||||||
Settlement rate and expected rate of return | 10 | % | 10 | % | 10 | % | |||
Actual return on plan assets | 18,200 | 21,890 | 24,200 | ||||||
Annual funding (contributions) | 16,300 | 40,100 | 49,000 | ||||||
Benefits paid | 14,000 | 16,200 | 20,700 | ||||||
Prior service cost (plan amended, 1/1/20) | 159,100 | ||||||||
Amortization of prior service cost | 54,200 | 42,000 | |||||||
Change in actuarial assumptions establishes a December 31, 2021, projected benefit obligation of: | 511,900 |
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