Question 18

Presented below is information related to Kiwi Ltd. for calendar 2020. The corporation uses IFRS.

Defined benefit obligation, Jan 1..........................$720,000Fair value of plan assets, Jan 1............................700,000Current service cost.............................................90,000Contributions to plan...........................................125,000Actual and expected return on plan assets.........56,000Past service costs (effective Jan 1)......................10,000Benefits paid to retirees......................................96,000Interest (discount) rate.......................................9%

The balance of the defined benefit obligation at December 31, 2020 is

$779,700.

$789,700.

$778,800.

$724,000.