Carla Vista Corporation Limited (BCL) began operations in 1996 and in 2006 adopted a defined benefit pension plan for its employees. By January 1, 2017, the accrued benefit obligation was $487,220. On January 2, 2017, for the first time, BCL agreed to a new union contract that granted retroactive benefits for services that its unionized employees had provided in years before the pension plan came into effect. The actuary informed BCLs chief accountant that, using its normal discount rate of 5%, benefits relating to these past services would cost the company $229,600. On January 1, 2017, the fair value of the pension plan assets was $301,350. In recent years, the actual return earned on these assets was highly variable, and in 2017, due to a downturn in the market, the actual return reported for the year was a loss of $9,370. The workforce is made up of a relatively young group of employees, so payments to those who had retired came to only $50,500 during the year, with these payments being made close to year end. The actuary reported that the current service cost for BCLs employees for 2017 was $113,500. It is the companys policy, on advice from the actuary, to contribute amounts to the pension plan equal to each years current service cost as well as 25% of any past service costs granted in the current year or in any of the preceding three years. The funding payment was made just before BCLs fiscal year end of December 31, 2017. At the end of 2017, the actuary revised some key estimates, resulting in an actuarial loss of $14,540 related to the defined benefit obligation

a)Calculate the pension expense that should be reported for BCLs year ended December 31, 2017, assuming the company reports under IFRS.

b)Calculate the pension expense that should be reported for BCLs year ended December 31, 2017, assuming the company reports under ASPE.

c)Reconcile the difference in pension expense reported in net income between IFRS and ASPE.