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Oriole, Inc. received the following information from its pension plan trustee concerning the operation of the company's defined-benefit pension plan for the year ended December
Oriole, Inc. received the following information from its pension plan trustee concerning the operation of the company's defined-benefit pension plan for the year ended December 31, 2018.
January 1, 2018 | December 31, 2018 | |||||||
Fair value of pension plan assets | $5150000 | $5550000 | ||||||
Projected benefit obligation | 5950000 | 6430000 | ||||||
Accumulated benefit obligation | 1075000 | 1315000 | ||||||
Accumulated OCI (Gains / Losses) | 0 | -165000 |
The service cost component of pension expense for 2018 is $375000 and the amortization of prior service cost due to an increase in benefits is $71000. The settlement rate is 11% and the expected rate of return is 10%. What is the amount of pension expense for 2018?
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