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

Debit/(Credit)

Plan assets (market-related value) $400,000

Projected benefit obligation ($560,000)

Pension asset/(liability) ($160,000)

OCI - Prior service cost $90,000

OCI - Pension Loss/(Gain) $65,000

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 43,000

Actual return on plan assets in 2021 34,000

Amortization of prior service cost 18,000

Employees Contributions to trustee in 2021 41,000

Benefits paid to retirees in 2021 15,000

Discount rate 6%

Expected return on plan assets 5%

Average remaining service life of active employees 8 years

The company amortizes pension losses/gains on a straight-line basis over 10 years. The companys fiscal year ends December 31.

INSTRUCTIONS:

a. Calculate total pension expense for 2022. Show all calculations clearly.

Total Pension Expense in accounting = Service cost, interest, expected return on plan assets, amortization of prior serivce cost, and amortization of pension gain/loss