Journal
Worksheet
Income Statement and Balance Sheet
Complete the following questions. In addition to answering the items below, you must submit an analysis of the assignment. Analyze the specific outcomes and write an analysis directed toward the team at Scottsdale Corp. describing what the numbers mean and how they relate to the business. Submit journal entries in an Excel file and written segments in an MS Word document. For written answers, please make sure your responses are well-written, formatted per CSU-Global Guide to Writing and APA and have proper citations, where applicable. Scottsdale Corp. sponsors a defined benefit pension plan for its employees. On January 1, 2017, the following balances relate to this plan. Plan assets $480,000 Projected benefit obligation 625,000 Accumulated OCI (PSC) 100,000 Dr. Accumulated OCI (Gain/Loss) 85,000 Cr. As a result of the operation of the plan during 2017, the following additional data are provided by the actuary: Service cost for 2017 $90,000 Settlement rate 9% Actual return on plan assets in 2017 57,000 Expected return on plan assets 10% Unexpected loss from change in projected benefit obligation, due to change in actuarial predictions 76,000 Actual return on plan assets in 2017 57,000 Expected return on plan assets 10% Unexpected loss from change in projected benefit obligation, due to change in actuarial predictions 76,000 Contributions in 2017 99,000 Benefits paid retirees in 2017 85,000 Avg. remaining service life (all employees) 12 years 1. Use the spreadsheet Pensions to prepare a pension worksheet. On the pension worksheet, compute pension expense, pension asset/liability, projected benefit obligation, plan assets, prior service cost, and net gain or loss. 2. Prepare the journal entry using the spreadsheet Journal Entries to record pension expense in 2017. 3. Indicate the reporting of the 2017 pension amounts in the income statement and balance sheet using the spreadsheet Pensions. 4. What is the amount of deferred pension gain or loss that the company will carry forward to 2018? Compute the same items as in (#1), assuming that the expected rate of return is 14% and the Accumulated OCI (Gain/Loss) is a Debit balance at January 1, 2017. Date Amount Amount Account Title Account Title Date Amount Amount 8 Account Title | Account Title Provide a one line explanation for the reason why the journal entry has been r 10 Provide a one line explanation for the reason why the journal entry has been 12 13 Date Amount Amount Account Title Account Title Date Amount Amount Account Title | Account Title 14 15 Provide a one line explanation for the reason why the journal entry has been r 16 Provide a one line explanation for the reason why the journal entry has been 17 18 19 Date Account Title Amount Amount Account Title Date Amount Amount Account Title | Account Title 20 Provide a one line explanation for the reason why the journal entry has been 22 Provide a one line explanation for the reason why the journal entry has been r Date Amount Amount Account Title | Account Title 24 Date Account Title Amount Amount | Account Title 26 27 Provide a one line explanation for the reason why the journal entry has been Provide a one line explanation for the reason why the journal entry has been 29 Date Amount Amount 30 Account Title Account Title Date Amount Amount Account Title Account Title Provide a one line explanation for the reason why the journal entry has been 33 Provide a one line explanation for the reason why the journal entry has been 35 Date Amount Amount Account Title | Account Title 36 Date Account Title Amount Amount | Account Title 38 39 Provide a one line explanation for the reason why the journal entry has been made. 40 Provide a one line explanation for the reason why the journal entry has been made. Pension Expense Pension Asset Pension Liabilty Projected Benefit Plan Assets Obligations Prior Service Cost OCI Net Gains or (Loss) Deferred Pension gainIncome statement Balance Sheet or Loss Carried forwrd Reported Amount Reported Amount 4 5 6 Balance, Jan. 1, 2017 7 Service cost 8 Interest cost 9 Actual Return 10 Expected Return 11 Amortization of PSC 12 Contributions 13 Benefits 14 Liability increase 15 Journal entry for 2017 16 17 Accumulated OCI, Dec. 31, 2016 18 Balance, Dec. 31, 2017 19 - Journal Entries Worksheet 1 Income Statement & Blce Sheet + Balance Sheet Income Statement Amounts Amounts *** You may add as many rows as needed to prepare your journal entries. Journal Entries Worksheet 1 Income Statement & Blce Sheet
