Problem 1:

Federal Delivery Service began a defined-benefit pension plan for its employees on January 1, 2013. Pertinent data are:

Projected benefit obligation, Dec. 31, 2013 $157,000

Accumulated benefit obligation, Dec. 31, 2013 148,000

Plan assets at fair value, Dec. 31, 2013 131,000

Pension expense for 2013 143,000

Employer's cash contribution, end of 2013 131,000

Question 1: What amount should Federal report in the balance sheet at December 31, 2013?

Problem 2:

Shelby Farm has a plan under which retired employees receive medical benefits. On January 1, 2013, Shelby Farm