Howard Corp. sponsors a defined-benefit pension plan for its employees. On January 1, 2021, the following balances related to this plan.

Plan assets (fair value) $2,200,000

Projected benefit obligation 2,400,000

Pension asset/liability 200,000 Cr.

Prior service cost 300,000

OCI - Loss 260,000

As a result of the operation of the plan during 2021, the actuary provided the following additional data at December 31, 2021.

Service cost for 2021 $280,000

Actual return on plan assets in 2021 180,000

Amortization of prior service cost 60,000

Contributions in 2021 460,000

Benefits paid retirees in 2021 320,000

Settlement rate 7%

Expected return rate 8%

Average remaining service life of active employees 10 years

Required

Be sure to provide supporting computations where appropriate. Preparation of the worksheet is not required but highly recommended.

(A) Prepare the journal entry for pension expense.

(B) Determine the following balances:

1. Components of Accumulated Other Comprehensive Income

2. Projected Benefit Obligation

3. Pension Asset/Liability