QUESTION 3 Exhibit 19-02 The Sophia Company adopted a defined benefit pension plan on January 1, 2015, and prior service credit was granted to employees. The present value of those benefits was calculated to be $1,245,300 at that date. The service cost is funded in full at the end of each year, plus an additional amount of $225,000 is funded each year-end. The unrecognized prior service cost is being amortized by the straight-line method over the remaining 10-year service life of the company's active employees. Additional information relating to the company's pension plan is presented below: 2015 2016 $ 105,000 $125,000 Service cost (annual) Unrecognized prior service cost amortization 124,530 124.530 Interest cost 10% 10% Expected and actual) return on plan assets 10% 10% Refer to Exhibit 19-02. What is the pension expense for 2015? O a $315.000 O b.$ 105,000 C. $354,060 O d. $229,530