Problem 20-1 (Part Level Submission) On January 1, 2014, Harrington Company has the following defined benefit pension plan balances. Projected benefit obligation Fair value of plan assets $4,520,000 4,206,300 The interest (settlement) rate applicable to the plan is 10%. On January 1, 2015, the company amends its pension agreement so that prior service costs of $513,900 are created. Other data related to the pension plan are as follows. Service cost Prior service cost amortization Contributions (funding) to the plan Benefits paid Actual return on plan assets Expected rate of return on assets 2015 $162,000 $187,200 91,000 300,300 296,000 252,378 267,700 245,500 201,300 696 896