Pensions--Class Example & Worksheet Assignment Jackson Company adopts acceptable accounting for its defined-benefit pension plan on January 1, 2013, with the following beginning balances: Plan Assets: Projected Benefit Obligation: $200,000 $250,000 Other data relating to 3 years' operation of the plan are as follows. Annual service cost Settlement rate and expected rate of return Actual return on plan assets Annual funding (contributions) Benefits paid Prior service cost (plan amended 1/1/14) Amortization of prior service cost A change in actuarial assumptions established a 12/31/15 PBO of Required: 2013 2014 2015 $16,000 10% $19,000 $26,000 10% 10% $18,000 $22,000 $24,000 $16,000 $40,000 $48,000 $14,000 $16,400 $21,000 $160,000 $54,400 $41,600 $520,000 (1) Prepare the pension worksheet for 2015 using the same format shown in class. Make sure it is neat and follows the order we used in class Make sure to show any calculations necessary--meaning if it isn't listed in the information above, show the calculation (2) Prepare the journal entry to reflect recognition of pension expense for 2015 Assume recogition of pension expense and contributions occur simultaneously (from Keiso, Weygandt, and Warfield, 15e) This continues the example from "Pension Worksheet 2013" & "Pension Worksheet 2014" Submit this on Canvas once completed. You will have the chance to fix it. Ask your colleagues but don't stress over it being 100% correct before submitting. Better to submit and find out what is wrong than wait too long. Name: Jackson Company--Pension Worksheet 2015 (See "Information & Instructions" worksheet for, well, information & instructions) (Negative amounts) = Credits Positive amounts Debits Balance, Dec. 31, 2014 Service cost Interest cost Return on Plan Assets (actual, expected & unexpected) Amortization of PSC Amortization of OCI-G/L Contributrions Benefits Actuarial loss/gain Reported JE amts for 2015 Memo Records Reported Records Plan Assets Annual Pension Expense Cash (OE-AOCI) OCH- PSC (OE-AOCI) OCI- Net Pension G/L Liability Balance, Dec. 31, 2015 ($520,000) Cr by assumption *Back into the actuarial loss/gain based on what is needed for your obligation to end up = $520,000 (Negative amounts)- Credits Positive amounts = Debits Summary Reported Entry: