Question 1 - (Components of Defined Benefit Obligation and Plan Assets)

The following data relate to Omega Company's pension plan for the year 2017:

Actual return on plan assets

$70,000

Benefits paid

45,000

Contributions to plan

87,000

Fair value of plan assets at January 1, 2017

600,000

Cost of past service benefits granted effective December 31, 2017

34,000

Defined benefit obligation at January 1, 2017

627,000

Current service cost

82,000

Actuarial loss

39,000

Interest (discount) rate

8%

Part A

Prepare pension worksheet for 2017 based on the IFRS approach.Show the journal entries for pension expense and contribution for 2017.

Part B

Prepare pension worksheet for 2017 based on the ASPE approach.Show the journal entries for pension expense and contribution for 2017.