Howard Corp. sponsors a defined-benefit pension plan for its employees. On January 1, 2015, the following balances related to this plan.

Plan assets (fair value)	$660,000
Projected benefit obligation	710,000
Pension asset/liability	50,000	Cr.
Prior service cost	86,000
OCI - Loss	76,000

As a result of the operation of the plan during 2015, the actuary provided the following additional data at December 31, 2015.

Service cost for 2015	$81,000
Actual return on plan assets in 2015	47,420
Amortization of prior service cost	23,800
Contributions in 2015	126,000
Benefits paid retirees in 2015	91,000
Settlement rate	6	%
Expected return rate	7	%
Average remaining service life of active employees 10 years

Compute pension expense for Howard Corp. for the year 2015 by preparing a pension worksheet.

Howard Corp. Pension Worksheet2015

General Journal Entries

Memo Record

Annual Pension Expense

Cash

OCIPrior Service Cost

OCI Gain/ Loss

Penison Asset/ Liability

Projected Benefit Obligation

Plan Assets

Balance, Jan. 1, 2015

Service cost

Interest cost

Actual return

Unexpected gain

Amortization of PSC

Amortization of loss

Contributions

Benefits

Journal entry for 2015

Accumulated OCI, Dec. 31, 2014

Balance, Dec. 31, 2015

Prepare the journal entry for pension expense.(Credit account titles are automatically indented when amount is entered. Do not indent manually.)

Account Titles and Explanation	Debit	Credit