Question 1 Ayayai Company adopts acceptable accounting for its defined benefit pension plan on January 1, 2016, with the following beginning balances: plan assets $197,300; projected benefit obligation $245,000. Other data relating to 3 years' operation of the plan are as follows. 2016 2017 2018 Annual service cost Settlement rate and expected rate of return Actual return on plan assets Annual funding (contributions) Benefits paid Prior service cost (plan amended, 1/1/17) Amortization of prior Change in actuarial assumptions establishes S15,900 $18,900 $26,300 10 % 10% 10% 18,100 15,900 13,700 21,760 39,800 16,300 160,400 55,000 24,000 47,100 21,300 42,300 service cost a December 31, 2018, projected benefit obligation of: 525,600 Prepare a pension worksheet presenting all 3 years pension balances and activities. (Enter all amounts as positive.) AYAYAI COMPANY Pension Worksheet-2016, 2017, 2018 General Journal Entries OCI-Prior Service Cost Memo Recor Annual Pension Expense oCI-Gain/ Loss Pension Asset/ Liability Projected Benefit Obligation Plan Assets Cash Balance, Jan. 1, 2016 Service cost 15900 Dr. Interest cost Dr Actual return Unexpected loss Cr 1980 Contributions 15900 Cr. Benefits Cr. ournal entry for 2016 Accumulated OCI, Dec. 31, 2015 Balance, Dec. 31, 2016 159 1980 Cr. 1980 Additional PSC, 1/1/2017 Balance, Jan. 1, 2017 Service cost Interest cost Actual return Amortization of PSC Contributions Benefits Journal entry for 2017 Accumulated OCI, Dec. 31, 2016 Balance, Dec. 31, 2017 Service cost Interest cost Actual return Unexpected loss Amortization of PSC Contributions Benefits Liability gain ournal entry for 2018 Accumulated OCI, Dec. 31, 2017 Balance, Dec. 31, 2018