Problem 20-4

Gordon Company sponsors a defined benefit pension plan. The following information related to the pension plan is available for 2012 and 2013.

		2012			2013
Plan assets (fair value), December 31		$699,000			$849,000
Projected benefit obligation, January 1		700,000			800,000
Pension asset/liability, January 1		140,000	Cr.		?
Prior service cost, January 1		250,000			240,000
Service cost		60,000			90,000
Actual and expected return on plan assets		24,000			30,000
Amortization of prior service cost		10,000			12,000
Contributions (funding)		115,000			120,000
Accumulated benefit obligation, December 31		500,000			550,000
Interest/settlement rate		9	%		9	% What is the pension exp for 2012 and 2013?