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On January 1, 2020, Culver Company has the following defined benefit pension plan balances. Projected benefit obligation $4,456,000 Fair value of plan assets 4,270,000 The
On January 1, 2020, Culver Company has the following defined benefit pension plan balances. Projected benefit obligation $4,456,000 Fair value of plan assets 4,270,000 The interest (settlement) rate applicable to the plan is 10%. On January 1, 2021, the company amends its pension agreement so that prior service costs of $490,000 are created. Other data related to the pension plan are as follows. 2020 2021 Service cost $149,000 $180,000 Prior service cost amortization 0 89,000 Contributions (funding) to the plan 245,000 289,000 Benefits paid 203,000 283,000 Actual return on plan assets 256,200 261,000 Expected rate of return on assets 6 % 8 % Prepare a pension worksheet for the pension plan for 2020 and 2021. (Enter all amounts as positive.) Items Balance, Jan. 1, 2020 Service cost Interest cost Actual return Contributions Benefits 1A Annual Pension Expense Journal entry for 2020 Accumulated OCI, Dec. 31, 2019 Balance, Dec. 31, 2020 Additional PSC, 1/1/2021 Balance, Jan. 1, 2021 Service cost Interest cost Actual return Unexpected loss $ Amortization of PSC Contributions > > > > $ Cash $ Service Cost OCI-Prior > < < < < < S < 222222 Question 2 of 2 OCI-Gain/ Loss O > Pension Asset/ Liability v 8:34 PM 4/7/2022 23 Projected Benefit Obligation Plan Assets Question 2 of 2 < > Journal entry for 2020 Accumulated OCI, Dec. 31, 2019 Balance, Dec. 31, 2020 Additional PSC, 1/1/2021 Balance, Jan. 1, 2021 Service cost Interest cost Actual return Unexpected loss Amortization of PSC Contributions Benefits Journal entry for 2021 Accumulated OCI, Dec. 31, 2020 Balance, Dec. 31, 2021 $ $ > For 2021, prepare the journal entry to record pension-related amounts. (Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter O for the amounts.) Account Titles and Explanation Debit Credit
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