On January 1, 2018, Smith Company adopted a defined benefit pension plan. At that time, Smith awarded retroactive benefits to its employees, resulting in a prior service cost that created a projected beneft obligation of $1,250,000 on that date (which it did not fund). Smith decided to amortize the prior service cost by the straight-line method over the 20-year average remaining service lite of its active participating employees. Smith's actuary has also provided the following additional information for 2019 and 2020: (1) service cost: 2019, $145,000;2020,$154,000; (2) expected (and actual) retum on plan assets: 2020, $33,000; and (3) projected benefit obligation: 1/1/2020, $1,520,000. The discount rate was 10% in both 2019 and 2020 . Smith contributed $330,000 and $350,000 to the pension fund at the end of 2019 and 2020, respectively. There are no other components of Smith's pension expense. Required: 1. Compute the amount of Smith's ponsion expense for 2019 and 2020 . 2. Prepare all the joumal entries related to Smith's pension plan for 2019 and 2020 . 3. Next Level it the prior service cost was vested, explain how Smith's pension expense for 2019 would be ditferent under amended lAS 19 . Chart of Accounts CHART OF ACCOUNTS Smith Company General Ledger ASSETS REVENUE 111 Cash 411 Sales Revenue 121 Accounts Receivable 141 Inventory EXPENSES 152 Prepaid Insurance 500 Cost of Goods Sold 181 Equipment 511 Insurance Expense 198 Accumulated Depreciation 512 Utilities Expense 521 Salaries Expense LIABILITIES 522 Pension Expense 211 Accounts Payable 532 Bad Debt Expense 231 Salaries Payable 540 Interest Expense 521 Salaries Expense LIABILITIES 522 Pension Expense 211 Accounts Payable 532 Bad Debt Expense 231 Salaries Payable 540 Interest Expense 250 Uneamed Revenue 541 Depreciation Expense 251 Accrued/Prepaid Pension Cost 559 Miscellaneous Expenses 261 Income Taxes Payable 910 Income Tax Expense EQUITY 311 Common Stock 331 Retained Eamings 916 Other Comprehensive Income: Prior Service Cost 1. Compute the amount of Smith's pension expense for 2019 and 2020. 2. Prepare the entries to record the prior service cost on January 1, the pension expense for 2019 and 2020 on December 31 of each year, and the ammortized priar semice cost for 2019 and 2020 on December 31 of each year. Generaldoumal instructions 3. If the prior service cost was vested, what amount would Smith recognize as pension expense for 2019 under amended IAS 19