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On January 1, 2017, Sweet Company has the following defined benefit pension plan balances. Projected benefit obligation $4,460,000 Fair value of plan assets 4,150,000 The

On January 1, 2017, Sweet Company has the following defined benefit pension plan balances.

Projected benefit obligation $4,460,000
Fair value of plan assets 4,150,000

The interest (settlement) rate applicable to the plan is 10%. On January 1, 2018, the company amends its pension agreement so that prior service costs of $503,000 are created. Other data related to the pension plan are as follows.

2017

2018

Service cost $150,000 $182,000
Prior service cost amortization 0 92,000
Contributions (funding) to the plan 243,000 279,000
Benefits paid 199,000 278,000
Actual return on plan assets 249,000 257,000
Expected rate of return on assets 6 % 8 %

A.)

Prepare a pension worksheet for the pension plan for 2017 and 2018. (Enter all amounts as positive.)

B.)

For 2018, prepare the journal entry to record pension-related amounts.

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