Exercise 19-3

Wildhorse Corporation provides the following information about its defined benefit pension plan for the year 2020:

Current service cost		$226,100
Contribution to the plan		263,600
Past service cost, effective December 31, 2020		26,100
Actual return on plan assets		160,000
Benefits paid		111,000
Net defined benefit liability at January 1, 2020		401,100
Plan assets at January 1, 2020		1,600,000
Defined benefit obligation at January 1, 2020		2,001,100
Interest/discount rate on the DBO and plan assets		10%

Wildhorse follows IFRS.

a) Prepare a continuity schedule for 2020 for the defined benefit obligation.

b) Prepare a continuity schedule for 2020 for the plan assets.

c) Calculate pension expense for the year 2020.

d) Prepare all pension journal entries recorded by Wildhorse in 2020.

e) What pension amount will appear on Wildhorses SFP at December 31, 2020?