Question 16()

Whole Foods Market has a non-contributory defined benefit pension plan. List below is information for the plan as of December 31, 2015.

Information for Projected Benefit Obligation

Projected Benefit Obligation as of December 31, 2014	$680
Loss due to changes in actuarial assumptions effective as of January 1, 2015	20
Adjusted Projected Benefit Obligation as of January 1, 2015	$700
Service Cost	100
Interest Cost 7% Settlement Rate	49
Benefits paid to retirees	(50)
Projected Benefit Obligation as of December 31, 2015	$799

Information for Fair Value of Pension Fund (Plan Assets)

Market Value of Plan Assets as of December 31, 2014	$600
Actual Return on Plan Assets	40
Contributions paid during calendar year 2015	150
Benefits paid to retirees	(50)
Market Value of Plan Assets as of December 31, 2015	$740

Other Pertinent Information for the Defined Benefit Pension Plan

Expected Return on Pension Fund

$35

Additional Information related to the Defined Benefit Pension Plan

Unrecognized Prior Service Cost at December 31, 20014	$70
Unrecognized Loss at December 31, 2014	$20

Amortization for the defined benefit pension plan utilizes a 10-year straight line

Requirements:

1. Compute the funded status of the Projected Benefit Obligation as of December 31, 2015.

2. Prepare the journal entry to record pension expense for calendar year 2015.