Exercise 20-23

Windsor Co. provides the following information about its postretirement benefit plan for the year 2020.

Service cost

$96,000

Prior service cost amortization

2,900

Contribution to the plan

54,700

Actual and expected return on plan assets

56,200

Benefits paid

42,600

Plan assets at January 1, 2020

701,700

Accumulated postretirement benefit obligation at January 1, 2020

745,500

Accumulated OCI (PSC) at January 1, 2020

93,500Dr.Discount rate

9%

Prepare a worksheet inserting January 1, 2020, balances, showing December 31, 2020, balances, and the journal entry recording postretirement benefit expense.