Hanson Corp. sponsors a defined benefit pension plan for its employees. On January 1, 2025, the following balances related to this plan. Plan assets (market-related value) $520,000 Projected benefit obligation 700,000 Pension asset/liability 180,000 Cr. Prior service cost 81,000 Net gain or loss (debit) 91,000

As a result of the operation of the plan during 2025, the actuary provided the following additional data for 2025.

Service cost $108,000 Settlement rate, 9%; expected return rate, 10% Actual return on plan assets 48,000 Amortization of prior service cost 25,000 Contributions 133,000 Benefits paid retirees 85,000 Average remaining service life of active employees 10 years

Instructions Using the preceding data, compute pension expense for Hanson for the year 2025 by preparing a pension

worksheet that shows the journal entry for pension expense. Use the market-related asset value to com- pute the expected return and for corridor amortization.