Pharoah Corp. sponsors a defined-benefit pension plan for its employees. On January 1, 2021, the following balances related to this plan.

Plan assets (fair value)		$500,000
Projected benefit obligation		550,000
Pension asset/liability		50,000	Cr.
Prior service cost		70,000
OCI - Loss		60,000

As a result of the operation of the plan during 2021, the actuary provided the following additional data at December 31, 2021.

Service cost for 2021		$65,000
Actual return on plan assets in 2021		45,900
Amortization of prior service cost		11,000
Contributions in 2021		110,000
Benefits paid retirees in 2021		75,000
Settlement rate		8	%
Expected return rate		9	%
Average remaining service life of active employees 10 years

(a) Compute pension expense for Pharoah Corp. for the year 2021 by preparing a pension worksheet.

b. Prepare the journal entry for pension expense.