Question
PharoahCorporation provides the following information about its defined benefit pension plan for the year 2020: Current service cost$225,600Contribution to the plan263,100Past service cost, effective December
PharoahCorporation provides the following information about its defined benefit pension plan for the year 2020:
Current service cost$225,600Contribution to the plan263,100Past service cost, effective December 31, 2020
25,600Actual return on plan assets160,000Benefits paid106,000Net defined benefit liability at January 1, 2020400,600Plan assets at January 1, 20201,600,000Defined benefit obligation at January 1, 2020
2,000,600Interest/discount rate on the DBO and plan assets10%
Pharoahfollows IFRS.
Prepare a continuity schedule for 2020 for the defined benefit obligation.(Enter negative amounts using either a negative sign preceding the number e.g. -45 or parentheses e.g. (45).)
PharoahCorporation
Continuity Schedule
2020select an opening name
Interest Cost
Defined Benefit Obligation, 12/31/20
Benefits Paid
Defined Benefit Obligation, 1/1/20
Past Service
Current Service Cost
$
enter a dollar amount
select an item
Defined Benefit Obligation, 12/31/20
Past Service
Interest Cost
Benefits Paid
Defined Benefit Obligation, 1/1/20
Current Service Cost
enter a dollar amount
select an item
Current Service Cost
Benefits Paid
Interest Cost
Defined Benefit Obligation, 12/31/20
Defined Benefit Obligation, 1/1/20
Past Service
enter a dollar amount
select an item
Benefits Paid
Defined Benefit Obligation, 1/1/20
Past Service
Defined Benefit Obligation, 12/31/20
Interest Cost
Current Service Cost
enter a dollar amount
select an item
Current Service Cost
Interest Cost
Defined Benefit Obligation, 12/31/20
Past Service
Defined Benefit Obligation, 1/1/20
Benefits Paid
enter a dollar amount
select a closing name
Defined Benefit Obligation, 1/1/20
Past Service
Current Service Cost
Defined Benefit Obligation, 12/31/20
Interest Cost
Benefits Paid
$
enter a total amount
eTextbook and Media
Prepare a continuity schedule for 2020 for the plan assets.(Enter negative amounts using either a negative sign preceding the number e.g. -45 or parentheses e.g. (45).)
PharoahCorporation
Continuity Schedule
2020select an opening name
Actual Return on Plan Assets
Benefits Paid
Plan Assets, 12/31/20
Plan Assets, 1/1/20
Contributions into Plan
$
enter a dollar amount
select an item
Actual Return on Plan Assets
Contributions into Plan
Plan Assets, 1/1/20
Benefits Paid
Plan Assets, 12/31/20
enter a dollar amount
select an item
Plan Assets, 1/1/20
Actual Return on Plan Assets
Plan Assets, 12/31/20
Benefits Paid
Contributions into Plan
enter a dollar amount
select an item
Plan Assets, 12/31/20
Contributions into Plan
Actual Return on Plan Assets
Plan Assets, 1/1/20
Benefits Paid
enter a dollar amount
select a closing name
Plan Assets, 1/1/20
Plan Assets, 12/31/20
Contributions into Plan
Benefits Paid
Actual Return on Plan Assets
$
enter a total amount
eTextbook and Media
Calculate pension expense for the year 2020.
Pension expense$
enter Pension expense in dollars
eTextbook and Media
Prepare all pension journal entries recorded byPharoahin 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
select an account title to record pension expense
Pension Expense
Contributions
Cash
Net Defined Benefit Liability/Asset
Pension Contributions Payable
enter a debit amount
select a credit amount
select an account title to record pension expense
Cash
Contributions
Pension Expense
Net Defined Benefit Liability/Asset
Pension Contributions Payable
enter a debit amount
select a credit amount
(To recordpension expense)December 31, 2020
select an account title to record contributions paid
Pension Contributions Payable
Contributions
Pension Expense
Cash
Net Defined Benefit Liability/Asset
enter a debit amount
select a credit amount
select an account title to record contributions paid
Cash
Pension Contributions Payable
Pension Expense
Net Defined Benefit Liability/Asset
Contributions
enter a debit amount
select a credit amount
(To recordcontributions paid)
eTextbook and Media
What pension amount will appear onPharoah's SFP at December 31, 2020?
Pension
select asset or liability
asset
liability
$
enter a dollar amount
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