Exercise 17-16 Determine and record pension expense and gains and losses; funding and retiree benefits (L017-6, 17-7) Actuary and trustee reports indicate the following changes in the PBO and plan assets of Douglas Roberts Industries during 2011 Prior service cost at Jan. 1. 2018, from plan amendment at the beginning of 2015 (amortization: $2 million per year) Net loss-AOCI at Jan. 1. 2018 (previous losses exceeded previous gains) Average remaining service life of the active employee group Actuary's discount rate $ 6 million $94 million ($in millions) Beginning of 2018 Service cost Interest cost, 31 Loss (gain) on PBO Less Retiree benefits End of 2018 $ 620 Beginning of 2018 52 Return on plan assets, 41 (61 expected) 18.6 (10) Cash contributions Less Retiree benefits $649.6 End of 2018 Required: 1-a. Determine Douglas-Roberts' pension expense for 2018 1.b, 2. to 4. Prepare the appropriate journal entries to record the pension expense, to record any 2018 gains and losses, to record cash contribution to plan assets and to record retiree benefits Complete this question by entering your answers in the tabs below. Red A Reg 1B and 2 Detern Jouglas Roberts pension expense for 2018. (Amounts to be deducted should be indicated with a minus sign Enter your answers in millions rounded to I decimal place (ie, 5,500,000 should be entered as 5.5).) $ Pension Expense Service cost Interest cost Expected return on assets Amortion of prior service 520 186 (16 2 00 1 MacBook Du Douglas-Roberts' pension expense for 2018. pare the appropriate journal entries to record the pension expense, to record any 2018 gains and on to plan assets and to record retiree benefits. his question by entering your answers in the tabs below. Reg 1B and 2 to 4 appropriate journal entries to record the pension expense, to record any 2018 gains and losses, to recor ution to plan assets and to record retiree benefits. (If no entry is required for a transaction/event, select required" in the first account field. Enter your answers in millions rounded to 1 decimal place (i.e., 5,50 tered as 5.5).) Show les Event Credit Debit 59.0 59.0 16.8% 16.8 General Journal Sony Pension expense Plan assets Amortization of net loss-OCI Amortization of prior service cost-OCI 3.2 2.0 70.6 16.8 X Loss-OCI Plan assets Exercise 17-16 Determine and record pension expense and gains and losses; funding and retiree benefits (LO17-6, 17-7) Actuary and trustee reports indicate the following changes in the PBO and plan assets of Douglas-Roberts Industries during 2018: Prior service cost at Jan. 1, 2018, from plan amendment at the beginning of 2015 (amortization: $2 million per year) Net loss-AOCI at Jan. 1, 2018 (previous losses exceeded previous gains) Average remaining service life of the active employee group Actuary's discount rate $ 6 million $94 million 10 years 3 ($ in millions) PBO Beginning of 2018 Service cost Plan Assets $ 420 16.8 Interest cost, 38 Loss (gain) on PBO Less: Retiree benefits End of 2018 $ 620 Beginning of 2018 52 Return on plan assets, 48 (68 expected) 18.6 (10) Cash contributions (31) Less: Retiree benefits $649.6 End of 2018 (31) $502.8 Required: 1-a. Determine Douglas-Roberts' pension expense for 2018. 1.b, 2. to 4. Prepare the appropriate journal entries to record the pension expense, to record any 2018 gains and losses, to record the cash contribution to plan assets and to record retiree benefits
