Problem 17-8 Pension spreadsheet; record pension expense and funding; new gains and losses (LO17-7. 17-8] A partially completed pension spreadsheet showing the relationships among the elements that constitute Carney, Inc's defined benefit pension plan follows. Six years earlier, Carney revised its pension formula and recalculated benefits earned by employees in prior years using the more generous formula. The prior service cost created by the recalculation is being amortized at the rate of $5 million per year. At the end of 2013, the pension formula was amended again, creating an additional prior service cost of $35 million. The expected rate of return on assets and the actuary's discount rate were 10%, and the average remaining service life of the active employee group is 10 years. Required: 1. il in the missing amounts. (Enter your answers in millions(i.e., 10,000,000 should be entered as 10).) ()s indicate credits; debits otherwise Net Pension (Liability) / Asset Prior Net Loss- Pension Expense Cash Plan AssetsService PBO ($ in millions) AOCI Cost-AOCI (110) 106 20 850 (960) Balance, Jan. 1, 2013 Service cost Interest cost Expected return on assets Adjust for: 96 (10) Loss on assets Amortization of Prior service cost Net loss Loss on PBO Prior service cost Cash funding Retiree benefits Bal., Dec. 31, 2013 (26) 91 (45) 96 106 800 20 (960) 2. Prepare the 2013 journal entry to record pension expense. (If no entry is required for an event, select "No journal entry required" in the first account field. Enter your answers in millions (i.e., 10,000,000 should be entered as 10).) View transaction list Journal entry worksheet Record pension expense. Note: Enter debits before credits. Credit Event General Journal Debit View general journal Record entry Clear entry 3. Prepare the journal entry(s) to record any 2013 gains and losses and new prior service cost in 2013. (If no entry is required for a particular event, select "No journal entry required" in the first account field. Enter your answers in millions (i.e., 10,000,000 should be entered as 10).) View transaction list Journal entry worksheet 2 Record any 2013 gains and losses. Note: Enter debits before credits. Credit Debit General Journal Event Record entry Clear entry View general journal 4. Prepare the 2013 journal entries to record the cash contribution to plan assets and payment of retiree benefits. (If no entry is required for a particular event, select "No journal entry required" in the first account field. Enter your answers in millions (i.e. 10,000,000 should be entered as 10).) View transaction list Journal entry worksheet 2 Record the cash contribution to plan assets. Note: Enter debits before credits. Event General Journal Debit Credit Record entry Clear entry View general journal Problem 17-8 Pension spreadsheet; record pension expense and funding; new gains and losses (LO17-7. 17-8] A partially completed pension spreadsheet showing the relationships among the elements that constitute Carney, Inc's defined benefit pension plan follows. Six years earlier, Carney revised its pension formula and recalculated benefits earned by employees in prior years using the more generous formula. The prior service cost created by the recalculation is being amortized at the rate of $5 million per year. At the end of 2013, the pension formula was amended again, creating an additional prior service cost of $35 million. The expected rate of return on assets and the actuary's discount rate were 10%, and the average remaining service life of the active employee group is 10 years. Required: 1. il in the missing amounts. (Enter your answers in millions(i.e., 10,000,000 should be entered as 10).) ()s indicate credits; debits otherwise Net Pension (Liability) / Asset Prior Net Loss- Pension Expense Cash Plan AssetsService PBO ($ in millions) AOCI Cost-AOCI (110) 106 20 850 (960) Balance, Jan. 1, 2013 Service cost Interest cost Expected return on assets Adjust for: 96 (10) Loss on assets Amortization of Prior service cost Net loss Loss on PBO Prior service cost Cash funding Retiree benefits Bal., Dec. 31, 2013 (26) 91 (45) 96 106 800 20 (960) 2. Prepare the 2013 journal entry to record pension expense. (If no entry is required for an event, select "No journal entry required" in the first account field. Enter your answers in millions (i.e., 10,000,000 should be entered as 10).) View transaction list Journal entry worksheet Record pension expense. Note: Enter debits before credits. Credit Event General Journal Debit View general journal Record entry Clear entry 3. Prepare the journal entry(s) to record any 2013 gains and losses and new prior service cost in 2013. (If no entry is required for a particular event, select "No journal entry required" in the first account field. Enter your answers in millions (i.e., 10,000,000 should be entered as 10).) View transaction list Journal entry worksheet 2 Record any 2013 gains and losses. Note: Enter debits before credits. Credit Debit General Journal Event Record entry Clear entry View general journal 4. Prepare the 2013 journal entries to record the cash contribution to plan assets and payment of retiree benefits. (If no entry is required for a particular event, select "No journal entry required" in the first account field. Enter your answers in millions (i.e. 10,000,000 should be entered as 10).) View transaction list Journal entry worksheet 2 Record the cash contribution to plan assets. Note: Enter debits before credits. Event General Journal Debit Credit Record entry Clear entry View general journal