Question 4 Carla Vista Corporation initiated a defined benefit pension plan for its 50 employees on January 1, 2020. The insurance company that administers the pension plan provides the following information for the years 20 For Year Ended December 31 2020 2021 2022 Plan assets (fair value) $52,000 $86,000 $167,000 Defined benefit obligation 64,900 ? Net actuarial (gain) loss: DBO 8,900 (24,500) 84,500 Remeasurement (gain) loss: fund assets ? ? (11,120) Employer's funding contribution (made at end of year) 52,000 60,000 95,000 There were no balances as at January 1, 2020, when the plan was initiated, because no credit was given for past service. The rate used to discount the company's pension obligation was 13% in 2020, 11% in 2021 expense amounted to the following: 2020, $56,000; 2021, $86,000; and 2022, $118,000. No benefits were paid in 2020, but $31,000 was paid in 2021, and $32,000 in 2022. (All benefits were paid and all actuaria company applies IFRS. Your answer is correct. Prepare a continuity schedule for the defined benefit obligation over the three-year period. (Round answers to 0 decimal places, e.g. 5,275. Enter negative amounts using either a negative sign precedin any answer field blank. Enter o for amounts.) Carla Vista Corporation Continuity Schedule of Defined Benefit Obligation 2020 2021 2022 Defined Benefit obligation at Beginning of Year 0 64900 102539 cament Service cost 56000 86000 118000 0 7139 8203 Activate Windows Prepare a continuity schedule for the defined benefit obligation over the three-year period. (Round answers to 0 decimal places, e.g. 5,275. Enter negative amounts using either a negative sign any answer field blank. Enter o for amounts.) Carla Vista Corporation Continuity Schedule of Defined Benefit Obligation 2020 2021 2022 [Defined Benefit Obligation at Beginning of Year v O 64900 102539 M Current Service Cost 56000 86000 118000 Interest Cost 0 7139 8203 Benefits Paid Out (31000) (32000) Net Actuarial Loss (Gain) 8900 (24500) 84500 TDefined Benefit Obligation at End of Year 64900 102539 281242 Prepare a continuity schedule for the plan assets over the three-year period. (Round answers to o decimal places, e.g. 5,275. Enter negative amounts using either a negative sign preceding the numbe field blank. Enter o for amounts.) Carla Vista Corporation Continuity Schedule of Plan Assets 2020 2021 2022 [Pian Assets at Beginning of Year V 52000 86000 [Arctdal Return on Assets 0 5000 18000 Benefits Paid Out POPH O (31000) (32000) M Contributions 52000 60000 95000 Plan Assets at end of Year 52000 86000 167000 Calculate the amount of net periodic pension expense that the company will recognize in each of 2020, 2021, and 2022. (Round answers to 0 decimal places, e.g. 5,275.) X 64900 Pension expense, 2020 x Pension expense, 2021 63639 x Pension expense, 2022 192703 Carla Vista Corporation Pension Work Sheet-2020, 2021 ar General Journal Entries Annual Pension Expense Cash Remeasurement (Gain) Loss (OCI) Items Balance, Jan. 1, 2020 Dr. (a) Service cost Cr. Dr (b) Net interest/finance cost Dr. (c) Actuarial loss, DBO Cr. V Dr. V X (d) Contributions Dr. Y EPP x P x= (e) Benefits paid Dr. X X Expense entry Dn Funding entry, 12/31/20 Balance, Dec. 31, 2020 nd 2022 Memo Record Net Defined Benefit Liab/Asset Defined Benefit Obligation Plan Assets SRPSP OF EK LUL =X 1 (f) Service cost (9) Net interest/finance cost PE (h) Asset remeasurement loss N (1) Actuarial gain on DBO N X 6) Contributions (k) Benefits paid 2 Expense entry Funding entry, 12/31/21 Balance, Dec. 31, 2021 26 GOOOOOOOO 5 - SOHOTO O O Service cost 9] = 3 (m) Net interest/finance cost (n) Asset remeasurement gain V . ODOOD X DDDDDDD (0) Actuarial loss on DBO (p) Contributions E (9) Benefits paid E Expense entry Funding entry Balance, Dec. 31, 2021 2011 QUOQUUUU DDDDDDDD UA 2 ) O COQUIO Determine the plan surplus or deficit at December 31, 2022, and the balance of the Net Defined Benefit Liability/Asset account that will be reported on the December 31, 2022 balance sheet. (Round answers to either a negative sign preceding the number e.g. -45 or parentheses e.g. (45). Do not leave any answer field blank. Enter o for amounts.) Plan Balance of the Net Defined Benefit account LINK TO TEXT LINK TO TEXT LINK TO TEXT LINK TO TEXT LINK TO TEXT Question 4 Carla Vista Corporation initiated a defined benefit pension plan for its 50 employees on January 1, 2020. The insurance company that administers the pension plan provides the following information for the years 20 For Year Ended December 31 2020 2021 2022 Plan assets (fair value) $52,000 $86,000 $167,000 Defined benefit obligation 64,900 ? Net actuarial (gain) loss: DBO 8,900 (24,500) 84,500 Remeasurement (gain) loss: fund assets ? ? (11,120) Employer's funding contribution (made at end of year) 52,000 60,000 95,000 There were no balances as at January 1, 2020, when the plan was initiated, because no credit was given for past service. The rate used to discount the company's pension obligation was 13% in 2020, 11% in 2021 expense amounted to the following: 2020, $56,000; 2021, $86,000; and 2022, $118,000. No benefits were paid in 2020, but $31,000 was paid in 2021, and $32,000 in 2022. (All benefits were paid and all actuaria company applies IFRS. Your answer is correct. Prepare a continuity schedule for the defined benefit obligation over the three-year period. (Round answers to 0 decimal places, e.g. 5,275. Enter negative amounts using either a negative sign precedin any answer field blank. Enter o for amounts.) Carla Vista Corporation Continuity Schedule of Defined Benefit Obligation 2020 2021 2022 Defined Benefit obligation at Beginning of Year 0 64900 102539 cament Service cost 56000 86000 118000 0 7139 8203 Activate Windows Prepare a continuity schedule for the defined benefit obligation over the three-year period. (Round answers to 0 decimal places, e.g. 5,275. Enter negative amounts using either a negative sign any answer field blank. Enter o for amounts.) Carla Vista Corporation Continuity Schedule of Defined Benefit Obligation 2020 2021 2022 [Defined Benefit Obligation at Beginning of Year v O 64900 102539 M Current Service Cost 56000 86000 118000 Interest Cost 0 7139 8203 Benefits Paid Out (31000) (32000) Net Actuarial Loss (Gain) 8900 (24500) 84500 TDefined Benefit Obligation at End of Year 64900 102539 281242 Prepare a continuity schedule for the plan assets over the three-year period. (Round answers to o decimal places, e.g. 5,275. Enter negative amounts using either a negative sign preceding the numbe field blank. Enter o for amounts.) Carla Vista Corporation Continuity Schedule of Plan Assets 2020 2021 2022 [Pian Assets at Beginning of Year V 52000 86000 [Arctdal Return on Assets 0 5000 18000 Benefits Paid Out POPH O (31000) (32000) M Contributions 52000 60000 95000 Plan Assets at end of Year 52000 86000 167000 Calculate the amount of net periodic pension expense that the company will recognize in each of 2020, 2021, and 2022. (Round answers to 0 decimal places, e.g. 5,275.) X 64900 Pension expense, 2020 x Pension expense, 2021 63639 x Pension expense, 2022 192703 Carla Vista Corporation Pension Work Sheet-2020, 2021 ar General Journal Entries Annual Pension Expense Cash Remeasurement (Gain) Loss (OCI) Items Balance, Jan. 1, 2020 Dr. (a) Service cost Cr. Dr (b) Net interest/finance cost Dr. (c) Actuarial loss, DBO Cr. V Dr. V X (d) Contributions Dr. Y EPP x P x= (e) Benefits paid Dr. X X Expense entry Dn Funding entry, 12/31/20 Balance, Dec. 31, 2020 nd 2022 Memo Record Net Defined Benefit Liab/Asset Defined Benefit Obligation Plan Assets SRPSP OF EK LUL =X 1 (f) Service cost (9) Net interest/finance cost PE (h) Asset remeasurement loss N (1) Actuarial gain on DBO N X 6) Contributions (k) Benefits paid 2 Expense entry Funding entry, 12/31/21 Balance, Dec. 31, 2021 26 GOOOOOOOO 5 - SOHOTO O O Service cost 9] = 3 (m) Net interest/finance cost (n) Asset remeasurement gain V . ODOOD X DDDDDDD (0) Actuarial loss on DBO (p) Contributions E (9) Benefits paid E Expense entry Funding entry Balance, Dec. 31, 2021 2011 QUOQUUUU DDDDDDDD UA 2 ) O COQUIO Determine the plan surplus or deficit at December 31, 2022, and the balance of the Net Defined Benefit Liability/Asset account that will be reported on the December 31, 2022 balance sheet. (Round answers to either a negative sign preceding the number e.g. -45 or parentheses e.g. (45). Do not leave any answer field blank. Enter o for amounts.) Plan Balance of the Net Defined Benefit account LINK TO TEXT LINK TO TEXT LINK TO TEXT LINK TO TEXT LINK TO TEXT