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Eagle Company reports the following pension plan information. Fair value of pension plan assets, January 1, 2020 1,300,000 Fair value of pension plan assets, December

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Eagle Company reports the following pension plan information. Fair value of pension plan assets, January 1, 2020 1,300,000 Fair value of pension plan assets, December 31, 2020 1,800,000 Contributions to the plan in 2020 199,000 Benefits paid retirees in 2020 350,000 Discount interest) rate 10% Required Based on above information, calculate the actual return on the plan assets for 2020. (3 marks) Question 3: (7 marks) Eagle Company records the following pretax financial income (loss) for both book and tax purposes. Year Pretax financial Income (Loss) Tax Rate 2013 150,000 15% 2014 220,000 20% 2015(500,000) 25% 2016300,000 30% Required (a) Prepare the journal entries for the years 2013- 2016 to report income tax expense (benefit) and income tax payable (refundable) and the tax effects of the loss carryback and carryforward, considering that the end of 2015 it is possible that the benefits of the loss carryforward will be realized in the upcoming years. (1+1+1+1=4 marks) (b) Utilizing the proposition in (a), construct the income tax section of the 2015 income statement, beginning with the line "Operating loss before income taxes." (1 mark) Prepare the journal entries for 2015 and 2016, considering that based on the weight of available evidence at 12/31/15, it is possible that 25% of the benefits of the loss carryforward will not be realized. (1+1=2 marks) Date Account title Debit Credit 2013 2014 2015 2016 b)

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