Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Pharoah Limited sponsors a defined benefit pension plan, and follows ASPE. The corporation's actuary provides the following information about the plan (in thousands of dollars):

image text in transcribedimage text in transcribedimage text in transcribed

Pharoah Limited sponsors a defined benefit pension plan, and follows ASPE. The corporation's actuary provides the following information about the plan (in thousands of dollars): Vested benefit obligation Defined benefit obligation, accounting basis Plan assets (fair value) Interest/discount rate Net defined benefit liability/asset Past service cost, plan amendment, effective December 30, 2020 Service cost for the year 2020 Contributions (funding) 2020 Benefits paid in 2020 January 1, 2020 $1,200 2,400 1,400 10% ? December 31, 2020 $1,530 3,190 2,091 10% ? 380 320 660 150 (Enter answers in thousands of dollars.) Calculate the actual return on the plan assets in 2020. Actual return on the plan assets in 2020 $ e Textbook and Media Calculate the amount of the net defined benefit liability/asset as at January 1, 2020. Net defined benefit , January 1, 2020 $ Prepare a continuity schedule of the defined benefit obligation for 2020. (Enter negative amounts using either a negative sign preceding the number e.g.-45 or parentheses e.g. (45).) $ 4 $ e Textbook and Media Calculate the pension expense for 2020, separately identifying each amount making up the total expense. (Enter negative amounts using either a negative sign preceding the number, e.g.-45 or parentheses, e.g. (45).) Current service cost $ Net interest cost Asset remeasurement gain Past service cost Pension expense for 2020 $ Prepare the pension-related entries made by the company during 2020. (Credit account titles are automatically indented when the amount is entered. Do not indent manually.) Date Account Titles and Explanation Debit Credit 2020 (To record pension expense.) 2020 (To record contribution to the pension fund.) e Textbook and Media Compare the plan's surplus or deficit at December 31, 2020, with the amount reported on the December 31, 2020 balance sheet. Plan $ Net defined benefit A Dec. 31/20 $

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

Sound Investing, Chapter 10 - One-Time Charges And Other Format Fakes

Authors: Kate Mooney

2nd Edition

0071719326, 9780071719322

More Books

Students also viewed these Accounting questions

Question

What was the influence of the individual experimenter?

Answered: 1 week ago

Question

600 lb 20 0.5 ft 30 30 5 ft

Answered: 1 week ago

Question

=+Is this metric really applicable to what I want to accomplish?

Answered: 1 week ago

Question

=+How does this metric connect to my objectives?

Answered: 1 week ago