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P 17-2 PBO calculations; present value concepts (LO17-3 Sachs Brands's defined benefit pension plan specifies annual retirement benefits equal to 1.6% service years final year's

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P 17-2 PBO calculations; present value concepts (LO17-3 Sachs Brands's defined benefit pension plan specifies annual retirement benefits equal to 1.6% service years final year's salary, payable at the end of each year. Angela Davenport was hired by Sachs at the beginning of 2007 and is expected to retire at the end of 2041 after 35 years' service. Her retirement is expected to span 18 years. Davenport's salary is $90,000 at the end of 2021 and the company's actuary projects her salary to be $240,000 at retirement. The actuary's discount rate is 7%. Required: 1. Draw a time line that depicts Davenport's expected service period, retirement period, and a 2021 measurement date for the pension obligation 2. Estimate by the projected benefits approach the amount of Davenport's annual retirement payments earned as of the end of 2021 . 3. What is the company's projected benefit obligation at the end of 2021 with respect to Davenport? 4. If no estimates are changed in the meantime, what will be the company's projected benefit obligation at the end of 2024 (three years hiter) with respect to Davenport? P 17-2 PBO calculations; present value concepts (LO17-3 Sachs Brands's defined benefit pension plan specifies annual retirement benefits equal to 1.6% service years final year's salary, payable at the end of each year. Angela Davenport was hired by Sachs at the beginning of 2007 and is expected to retire at the end of 2041 after 35 years' service. Her retirement is expected to span 18 years. Davenport's salary is $90,000 at the end of 2021 and the company's actuary projects her salary to be $240,000 at retirement. The actuary's discount rate is 7%. Required: 1. Draw a time line that depicts Davenport's expected service period, retirement period, and a 2021 measurement date for the pension obligation 2. Estimate by the projected benefits approach the amount of Davenport's annual retirement payments earned as of the end of 2021 . 3. What is the company's projected benefit obligation at the end of 2021 with respect to Davenport? 4. If no estimates are changed in the meantime, what will be the company's projected benefit obligation at the end of 2024 (three years hiter) with respect to Davenport

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