Exercise 20-11 (Part Level Submission)

Shamrock Company sponsors a defined benefit pension plan for its employees. The following data relate to the operation of the plan for the year 2017 in which no benefits were paid.

Exercise 20-11 (Part Level Submission) Sharnruck Cornpay spur a deined benefil pe plan fur ls emplos. The folluwiru clala relale lo the oeralion f the plan for he yea 2017 i which no beelils were paic. 1. The actuarial present value of future henefits eaned hy employees for services rnred n 2017 amounted to $55,8oo. 2. The company's funding policy requires a contribution to the pension trustee amounting to $136,000 for 2017 3. As of January 1, 2017, the company had a projected benefit obligation of $902,500, an cumulated bencfit obligation of $797,300, and a debit belance of $401,800 in accurnulated OCI (PSC). The fair value of he actual and expected return on plan assets was $53,70. The settlement rate was 8%. No gains or cases occurm in 2017 and no pension plan assets amounted to henefits were pald. 595 3no at the beginning o the year 4. Amnrtizatinn of prinr servine mst was 50,001 in 201 /. Amortizatinn of net gain nr lass was nnt required in 201 / (a) Determine the amounts of the components of penslon expense that should be recognized by the company n 2017. (Enter amounts that reduce pension expense wth elther a negative sign preceding the number e.g. -45 or parenthesis e.g. (45).) Components of Pension Expense