Question 20 3 pts Interest cost will: Increase the PBO and increase pension expense. Increase the PBO and reduce plan assets. Increase pension expense and reduce plan assets. Increase pension expense and reduce the return on plan assets. A company's defined benefit pension plan had a PBO of $276,000 on January 1, 2018. During 2018, pension benefits paid were $49,000. The discount rate for the plan for this year was 11%. Service cost for 2018 was $89,000. Plan assets (fair value) increased during the year by $46,000. The amount of the PBO at December 31, 2018, was: $395,360. $227,000. None of these answer choices are correct. $346,360.