Exercise 17-19 (Algo) Record pension expense, funding, and gains and losses; financial statement effects [LO17-6, 17-7, 17-8]

Beale Management has a noncontributory, defined benefit pension plan. On December 31, 2024 (the end of Beale's fiscal year), the following pension-related data were available:

Projected Benefit Obligation	($ in millions)
Balance, January 1, 2024	$ 520
Service cost	54
Interest cost, discount rate, 5%	26
Gain due to changes in actuarial assumptions in 2024	(10)
Pension benefits paid	(26)
Balance, December 31, 2024	$ 564

Plan Assets	($ in millions)
Balance, January 1, 2024	$ 540
Actual return on plan assets	36
(Expected return on plan assets, $41)
Cash contributions	77
Pension benefits paid	(26)
Balance, December 31, 2024	$ 627

January 1, 2024, balances:	($ in millions)
Pension asset	$ 20
Prior service costAOCI (amortization $4 per year)	20
Net gainAOCI (any amortization over 10 years)	94

Required:

1. to 3. Prepare the journal entries required for the pension during 2024.

4. Determine the balances at December 31, 2024, in the net gainAOCI, and prior service costAOCI. [Hint: You might find T-accounts useful.]

5. What amount will Beale report in its 2024 balance sheet as a net pension asset or net pension liability for the funded status of the plan?