Patricks Party Palace, (P3), purveyors of fine party supplies and fun adventures, had the following transactions/situations that either happened in 2020 (or were from prior years but not discovered until 2020) that have NOT, unless otherwise indicated, been addressed/recorded. NOTE: P3 has a tax rate of 32% for the current and all future years.

1. P³ has a defined benefit pension plan for its fulltime employees. Here are the data for 2020.

Service Cost 350,000

Discount Rate 8%

Expected Return Rate 12%

Actual Return 264,000

PBO 1/1/20 1,540,000

Plan Assets 1/1/20 1,780,000

Prior Service Cost 1/1/20 (gain) 120,000

ABO 1/1/20 976,000

ABO 12/31/20 1,012,000

Amortization of PSC 37,000

Unrecognized loss 1/1/20 218,000

Average service life 25 years

Contributions 190,000

Benefits Paid 261,000

Pension Asset/Liability 1/1/20 240,000 dr.