Jeronimo Ltd$.$s pension plan became effective on $01$st January $2014.$ Data related to the pension plan for the

years $2014$ and $2015$ are as follows $$

$20142015$

Service cost $100,000120,000$

Contributions to the plan $80,00090,000$

Benefits paid to retirees $2,00015,000$

Actual return on plan assets $08,500$

Additional information:

The rate used to discount the company$$s pension obligation since the inception of the plan was $10\%.$ The

expected return on the plan assets since the inception of the pension plan was $10\%.$ The company uses the

corridor method to amortize any unrecognized gains or losses.

Required:

$1.$ Prepare a pension worksheet for the year $2014.(4$ MARKS$)$

$2.$ Prepare a pension worksheet for the year $2015$