REQUIRED:

1. Determine douglas-roberts' pension expense for 2018 and prepare the appropriate journal entries to record the expense.

2. Prepare the appropriate journal entry(s) to record any 2018 gains and losses.

3. Prepare the appropriate journal entry to record the cash contribution to plan assets

4. Prepare the appropriate journal entry to record retiree benefits

Explanation Show correct answers Actuary and trustee reports indicate the following changes in the PBO and plan assets of Douglas-Roberts Industries during 2018: 7.59/11 points awarded Prior service cost at Jan. 1, 2018, from plan amendment at the beginning of 2015 (amortization: $6 million per year) Net loss-AOCI at Jan.1, 2018 (previous losses exceeded previous gains) Average remaining service life of the active employee group Actuary's discount rate $ 18 million $102 million 10 years 3% Scored Plan Assets $ 500 ($ in millions) PBO Beginning of 2018 $ 700 Beginning of 2018 Service cost 60 Return on plan assets, 4% (6% expected) Interest cost, 3% 21.0 Loss (gain) on PBO (14) Cash contributions Less: Retiree benefits (35) Less: Retiree benefits End of 2018 $732.0 End of 2018 20.0 101 (35) $586.0