Pension data for Barry Financial Services Inc. include the following:

($ in thousands)Discount rate, 7%

Expected return on plan assets, 13%

Actual return on plan assets, 12%

Service cost, 2021$490

January 1, 2021:Projected benefit obligation3,200

Accumulated benefit obligation2,900

Plan assets (fair value)3,300

Prior service cost?AOCI (2021 amortization, $25)415

Net gain?AOCI (2021 amortization, $12)510

There were no changes in actuarial assumptions.

December 31, 2021:

Cash contributions to pension fund, December 31, 2021425

Benefit payments to retirees, December 31, 2021450

Required:

1.Determine pension expense for 2021.

2.Prepare the journal entries to record (a) pension expense, (b) gains and losses (if any), (c) funding, and (d) retiree benefits for 2021.