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Data pertaining to the postretirement health care benefit plan of Sterling Properties include the following for 2021: ($ in thousands) Service Cost $ 134 Accumulated
Data pertaining to the postretirement health care benefit plan of Sterling Properties include the following for 2021:
($ in thousands) | |
Service Cost | $ 134 |
Accumulated postretirement benefit obligation, January 1 | 600 |
Plan assets (fair value), January 1 | 110 |
Prior service costAOCI | none |
Net gainAOCI (2021 amortization, $1) | 99 |
Retiree benefits paid (end of year) | 87 |
Contribution to health care benefit fund (end of year) | 195 |
Discount rate, 7% | |
Return on plan assets (actual and expected), 10% |
Required: 1. Determine the postretirement benefit expense for 2021. 2. Prepare the appropriate journal entries to record the (a) postretirement benefit expense, (b) funding, and (c) retiree benefits for 2021
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