Hubbard, Inc., received the following information from its pension plan trustee concerning the operation of the company's defined-benefit pension plan for the year ended December 31, 2018. 1/1/18 12/31/18 Projected benefit obligation $11,400,000 $11,760,000 Pension assets (at fair value) $6,000,000 $6,900,000 Accumulated benefit obligation $2,400,000 $2,760,000 Net (gains) and losses -0- $240,000 The service cost component of pension expense for 2018 is $940,000, and the amortization of prior service cost due to an increase in benefits is $180,000. The settlement rate is 10%, and the expected rate of return is 8%. What is the amount of pension expense for 2018?

$1,816,000

$1,780,000

$1,708,000

$1,540,000