Question
Exercise 20-23 Cheyenne Co. provides the following information about its postretirement benefit plan for the year 2017. Service cost $ 92,700 Prior service cost amortization
Exercise 20-23
Cheyenne Co. provides the following information about its postretirement benefit plan for the year 2017.
| Service cost | $ 92,700 | ||
| Prior service cost amortization | 3,000 | ||
| Contribution to the plan | 50,600 | ||
| Actual and expected return on plan assets | 64,500 | ||
| Benefits paid | 37,100 | ||
| Plan assets at January 1, 2017 | 719,300 | ||
| Accumulated postretirement benefit obligation at January 1, 2017 | 745,800 | ||
| Accumulated OCI (PSC) at January 1, 2017 | 92,900 | Dr. | |
| Discount rate | 8 | % |
Prepare a worksheet inserting January 1, 2017, balances, showing December 31, 2017, balances, and the journal entry recording postretirement benefit expense. (Enter all amounts as positive.)
| CHEYENNE CO. Postretirement Benefit Worksheet2017 | ||||||||||||||||||
| General Journal Entries |
| Memo Record | ||||||||||||||||
| Items |
| Annual Postretirement Expense | Cash | OCIPrior Service Cost | Postretirement Asset/ Liability |
| APBO | Plan Assets | ||||||||||
| Balance, Jan. 1, 2017 | $ | Dr.Cr. | $ | Dr.Cr. | $ | Dr.Cr. | $ | Dr.Cr. |
| $ | Dr.Cr. | $ | Dr.Cr. | |||||
| Service cost |
Dr.Cr. |
Dr.Cr. |
Dr.Cr. |
Dr.Cr. |
|
Dr.Cr. |
Dr.Cr. | |||||||||||
| Interest cost |
Dr.Cr. |
Dr.Cr. |
Dr.Cr. |
Dr.Cr. |
|
Dr.Cr. |
Dr.Cr. | |||||||||||
| Actual return |
Dr.Cr. |
Dr.Cr. |
Dr.Cr. |
Dr.Cr. |
|
Dr.Cr. |
Dr.Cr. | |||||||||||
| Contributions |
Dr.Cr. |
Dr.Cr. |
Dr.Cr. |
Dr.Cr. |
|
Dr.Cr. |
Dr.Cr. | |||||||||||
| Benefits |
Dr.Cr. |
Dr.Cr. |
Dr.Cr. |
Dr.Cr. |
|
Dr.Cr. |
Dr.Cr. | |||||||||||
| Amortization of PSC |
Dr.Cr. |
Dr.Cr. |
Dr.Cr. |
Dr.Cr. |
|
Dr.Cr. |
Dr.Cr. | |||||||||||
| Journal entry for 2017 | $ |
Dr.Cr. | $ |
Dr.Cr. |
Dr.Cr. |
Dr.Cr. |
|
Dr.Cr. |
Dr.Cr. | |||||||||
| Accumulated OCI, Dec. 31, 2016 |
Dr.Cr. |
Dr.Cr. |
|
Dr.Cr. |
Dr.Cr. | |||||||||||||
| Balance, Dec. 31, 2017 | $ | Dr.Cr. | $ | Dr.Cr. |
| $ | Dr.Cr. | $ | Dr.Cr. | |||||||||
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IT Audit Control And Security
Authors: Robert R. Moeller
1st Edition
0471406767, 9780471406761
