Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

pharoah Corp. provides the following information about its postretirement health-care benefit plan for the year 2020: Current service cost $203,000 Contribution to the plan 48,100

pharoah Corp. provides the following information about its postretirement health-care benefit plan for the year 2020:
Current service cost $203,000
Contribution to the plan 48,100
Actual return on plan assets 142,600
Benefits paid 98,000
Plan assets at January 1, 2020 1,597,900
Defined postretirement benefit obligation at January 1, 2020 1,823,200
Discount rate 11%

Assuming Opsco follows ASPE, calculate the post-retirement benefit expense for 2020.

Postretirement benefit expense $

Prepare all required journal entries related to the post-retirement benefit plan that were made by the company in 2020. (Credit account titles are automatically indented when the amount is entered. Do not indent manually.)

Date

Account Titles and Explanation

Debit

Credit

December 31, 2020

(To record post-retirement benefit expense.)

December 31, 2020

(To record contribution to the pension fund.)

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Cases In Auditing

Authors: Josephine Maltby

2nd Edition

1853963127, 978-1853963124

More Books

Students also viewed these Accounting questions