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Required information [The following information applies to the questions displayed below.] Actuary and trustee reports indicate the following changes in the PBO and plan
Required information [The following information applies to the questions displayed below.] Actuary and trustee reports indicate the following changes in the PBO and plan assets of Lakeside Cable during 2021: Prior service cost at Jan. 1, 2021, from plan amendment at the beginning of 2019 (amortization: $6 million per year) Net loss-pensions at Jan.1, 2021 (previous losses exceeded previous gains) Average remaining service life of the active employee group Actuary's discount rate. $50 million $60 million 10 years 8% ($ in millions) PBO Beginning of 2021 $500 Service cost 66 Beginning of 2021 Return on plan assets, Plan Assets $360 Interest cost, 8% 40 7.5% (10% expected) Loss (gain) on PBO (4) Cash contributions Less: Retiree benefits (52) Less: Retiree benefits End of 2021 $550 End of 2021 27 65 (52) $400 Assume the following actuary and trustee reports indicating changes in the PBO and plan assets of Lakeside Cable during 2022: ($ in millions) Plan PBO Assets Beginning of 2022 $550 Service cost 56 Beginning of 2022 Return on plan assets, $400 Interest cost, 8% 44 17% (10% expected) 68 Loss (gain) on PBO 5 Cash contributions 48 Less: Retiree benefits End of 2022 (34) Less: Retiree benefits (34) $621 End of 2022 $482
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