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Novak Co. provides the following information about its postretirement benefit plan for the year 2017. Service cost $87,700 Prior service cost amortization 3,200 Contribution to
Novak Co. provides the following information about its postretirement benefit plan for the year 2017.
Service cost | $87,700 | ||
Prior service cost amortization | 3,200 | ||
Contribution to the plan | 60,500 | ||
Actual and expected return on plan assets | 62,100 | ||
Benefits paid | 39,000 | ||
Plan assets at January 1, 2017 | 704,000 | ||
Accumulated postretirement benefit obligation at January 1, 2017 | 763,900 | ||
Accumulated OCI (PSC) at January 1, 2017 | 101,900 | Dr. | |
Discount rate | 9 | % |
My formula was service cost (87,700) + accumulated postretirement (763,900 x 9%) - actual return (62,100) = 94,351 and that is wrong.
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