Problem 20-7

Oriole Corp. sponsors a defined benefit pension plan for its employees. On January 1, 2017, the following balances related to this plan.

Plan assets (market-related value)		$483,000
Projected benefit obligation		737,000
Pension asset/liability		254,000	Cr.
Prior service cost		85,000
Net gain or loss (debit)		96,000

As a result of the operation of the plan during 2017, the actuary provided the following additional data for 2017.

Service cost for 2017		$103,000
Settlement rate, 9%; expected return rate, 10%
Actual return on plan assets in 2017		45,000
Amortization of prior service cost		24,000
Contributions in 2017		127,000
Benefits paid retirees in 2017		83,000
Average remaining service life of active employees		10	years

Using the preceding data, compute pension expense for Oriole Corp. for the year 2017 by preparing a pension worksheet that shows the journal entry for pension expense. (Enter all amounts as positive.,) ORIOLE CORP Pension Worksheet-2017 Annual Pension Expense oCI-Prior Service Cost OCI- Gain/ Loss Penison Asset/ Liability Projected Benefit Obligation Plan Assets Items Dalance, Jan. 1, 2017 Service cost Interest cost Actual return Unexpected loss Amortization of PSC Amortization of loss Contributions Denefits Cash Journal entry for 2017 Accumulated OCI, Dec. 31, 2016 Balance, Dec. 31, 2017 use the market-related asset value to compute the expected return and for corridor amortization. Expected return Corridor amortization Using the preceding data, compute pension expense for Oriole Corp. for the year 2017 by preparing a pension worksheet that shows the journal entry for pension expense. (Enter all amounts as positive.,) ORIOLE CORP Pension Worksheet-2017 Annual Pension Expense oCI-Prior Service Cost OCI- Gain/ Loss Penison Asset/ Liability Projected Benefit Obligation Plan Assets Items Dalance, Jan. 1, 2017 Service cost Interest cost Actual return Unexpected loss Amortization of PSC Amortization of loss Contributions Denefits Cash Journal entry for 2017 Accumulated OCI, Dec. 31, 2016 Balance, Dec. 31, 2017 use the market-related asset value to compute the expected return and for corridor amortization. Expected return Corridor amortization