Duntroon Corp. has had a defined benefit pension plan for its employees for the last 20 years. Relevant information for Duntroons December 31, 20X5, fiscal year follows:

1. As at December 31, 20X4, the balance in the defined benefit obligation was $980,000 and the plan assets was $720,000.

2. On January 1, 20X5, there was a past service adjustment that improved the benefits under the plan. The actuary determined the amount of this adjustment to be $90,000.

3. The current service cost for 20X5 is $60,000. Contributions of $230,000 were made on March 1, 20X5, to the pension trustee. Benefits totalling $175,000 were paid to the retirees evenly throughout the year.

The actuarial valuation of the defined benefit obligation was $960,000 on December 31, 20X5. The fair value of the plan assets on December 31, 20X5, was $870,000. The yield on high-quality corporate bonds is 3%.

Required:

a) Reconcile the change in the plan assets during 20X5. (2 marks)

b) Reconcile the change in the defined benefit obligations during 20X5. (2 marks)

c) Prepare the journal entries to record all activities related to the defined benefit pension plan for 20X5. (4 marks)