Sachs Brands's defined benefit pension plan specifies annual retirement benefits equal to 1.6% service years final year's salary. payable at the end of each year. Angela Davenport was hired by Sachs at the beginning of 2010 and is expected to retire at the end of 2044 after 35 years' service. Her retirement is expected to span 18 years. Davenport's salary is $90,000 at the end of 2024 and the company's actuary projects her salary to be $240,000 at retirement. The actuary's discount rate is 7% At the beginning of 2025, changing economic conditions caused the actuary to reassess the applicable discount rate. It was decided that 8% is the appropriate rate. Note: Use tables, Excel, or a financial calculator. (EV of $1. PV of $1. EVA of $1. PVA of $1 EVAD of $1 and PVAD of51) Required: Calculate the effect of the change in the assumed discount rate on the PBO at the beginning of 2025 with respect to Davenport Note: Do not round intermediate calculations. Round your final answer to the nearest whole dollar. The on PBO is gain. loss Table 1 Future value of $1 FV-51(1+0 Productiorytna anting/Soundtr 9 000 1.70M LIME LORE MAL m/s 1.05 1.5% 2.0% 1 2.55 1,01000 1.01500 1.92000 1.02500 2 1.02010 1.05022 1,04050 1.05063 . 1.05030 3.0% 1.000 1. Mose 3.55 1.01509 4. 104000 4.5 10 3.M 3.18 Lavie L 7.M. 1.0468 1.06371 1.09 1.09773 4 1.Mose 1.07123 1,10872 1.11103 1.06136 1.124 1.824) 1.10381 1.12551 3.34753 1,05101 1.07728 1.14117 1.1953 3.19997 6 1.00152 1.199 WIME 1.09544 1.12636 1.15969 1.1995 1.3165 126532 7 3.07214 1.10904 1 13226 3.14869 1.18069 1,27 " 1.08286 1.12649 1.17166 3.21040 1.2677 1.30M1 . 1.09369 3.14399 32483 1,30477 19 1.43909 10 1.10462 1-36054 1.21899 720000 14180 31 1.11567 1.17795 T24337 131209 142795 171014 12 1.12683 1.19542 1. 2.824 14756 13 1.13809 1.21355 1981 13751 14353 14 1.14947 1.33176 1331948 131239 35 1.16097 3.3502) 1.MS 1.84039 755797 1.4/535 36 1.17258 1.26499 17 1.18430 1.28802 38 1-19615 19 20 1.22019 1.34 1.50/14 1.32695 1.45681 1.48595 1.37279 AMSE 1,40074 1.32192 245245 1.47075 1.73395 1.55966 3.78145 UMPM 3.0358 www 1.59805 175351 1.12258 1.Wise 1.61863 3. POGLE 1.085/9 21 3.31739 1.36206 1551567 3.67958 2.094 2,41171 S 1.79314 35 1.35095 2.09178 2.30324 www. 4.IM 10 1.34785 1.56308 2.0977 3.47726 40 1.44866 1.81403 2.2008 2.68506 11.94 LUM m EAUM 2.hm. TIME CHANE TAMI ZAMI www wwwww M MIN AUNE HIM AMFARM FAMIT TABLE Present value of St PV-5110 3:05 79 4. 4.58 33 50577 COPSE 8.56618 WN4 10.95118 M B.SEINE 0.95637 #3402 6.9535 8.9288 AL ALE VISER 10154 8.37943 77318 + CIZIE WARME STATE .35347 97804 93454 35 4 8.358 8045 . 74776 4.7 8.7 4 . asses BLOPPES 9.813 WHE NGAL 15992 DARY WPAGE 72525 8.68744 B.AMI 271 SEVE 8.54355 8.43017 958149 5037 #1425 59627 54447 8.53316 9.33464 4.4 esser MALE *400* BOM) P 426 8.78126 76354 8. 0.58543 8.5549 8.55819 8.33679 BAZE 3875 Se WIN 8.31738 M 81619 8.5896 V A " des 77541 9,00 14 *.112 17940 ALFR MA AMA BAZINE 55 1 B. 9.6418 9. 55526 MSTA 36 5242 17 .7000 74 872845 .67343 9.57675 4447 BU4EE3 44 AD BALIF .39365 2 21 33109 4.M 75416 8.70016 43318 FARM 3/16 8.36) 33673 1952 11524 .39589 1 .58799 2.318 0.016 400 A 34147 Arena .296 9.258625 31306 XCITE .67555 Szejs 9.4/464 1952 1 331.75 8.19449 15993 9.41954 21 BLIKE CAIRTE BRADU 8.327 8.59539 8.5 #WAP .49 19 34273 111M 21415 8.375 8.14554 53755 Y SAIRE * 417H 9.12 M/W 8.24352 18.35/15 8.3437 6.12485 .11134 .112 32648 HEPESS * RSHIP 4.42315 17512 0.29510 26223 8.213 15 RAM CASMI WASH PRESE 29 MIT e.xpat 1000 A 18/11 537 8.67676 BALLS .24700 #3113 TSEY 8.91 937999 23 eze 300 HOLL 818 57241 RE RAZE WIL Table 3 Future Value of an Ordinary Annuity of 51 FVA=((1+4)-14 3.01 2.55 3.0000 3.05 A GOS 3.S CR 2 3.0150 1.0000 2.8158 1,0000 J.M. 1.0000 3. 11. P 3. 2.0000 2.9800 3-3370 1320 32549 44535 4183 5.3533 5.2561 4.2145 5.3625 4.305 4.3792 Se 2701 4.37 5.4161 330756 6.3877 6.7169 6.9753 3.1000 3.3100 44418 In 717336 2:12 42053 7.9129 .3352 2135 7.5474 8.8925 9714 .3428 9.5491 SPREE 9.7218 89175 (11554 12.2937 5595 3.7546 11.948 11./163 14.3648 14.773 13.7037 10.5457 11.2014 35.7314 12.5779 12.4m4 LL.1M 11 12-1687 32.4835 14.2018 34.1815 14.9718 11.8114 11.7836 1446 149729 17.3483 19.5414 20-4346 38 11.ABIV 31.4121 34.3520 28.6020 15.9171 17.05 13 35.6379 10.1130 17.1999 17.709 29.10 18.77 EL AVEY 34 15.4504 152213 170861 17.5779 10.2916 18 37.2934 17.9319 39-2958 24.2540 37.3523 12.9534 25.8132 29, 36.11 31.108 31.7225 34.AP54 38 17.2579 37.9336 20.3149 28.9728 17 20.0121 31.7016 23.8345 23.1975 22.7193 23.6575 24.6421 36.9964 43.7538 28.3125 31.2543 18 24 77-383 T 39 25,5447 23.41 25.1169 38704 34.499) 25.4454 174102 15. 1953 26.3532 27.0 29223 29.0630 115/14 32.3827 34 41. M 21 24.4705 35.7193 49955 4452 45 7630 71 294 25 SSC2222 29.03 151935 73.245 199 323 154.700 195.4158 255.0441 ALKAMIN Table 4 Present Value of an Ordinary Assity of S1 {* Table 5 Future Value of as Annuity Dee of 511 VAD (100+) 1.39 2.15 HOWE 18 2 L.R 7.95 11. P www 2.183 1216 3330 3.245 3.245 COLEN 2.1905 3. 2.1AM 4 41521 43425 4.4707 3.3 NURIZE M 3528 5:44 1.5500 5.76 1.3015 . 9.4343 223952 43474 A 6.8425 4.774 7.8592 7.3479 7.3449 822143 8.7216 . K SP-2563 13379 8. 6.3559 4.0 4.75 5. TAINE 8.2004 8.4873 8.7933 H 18.415 114714 10 2934 306659 se 11 3687 1194815 10.7314 37.1430 11.5729 www.z 11. 5415 130716 12-8164 14.2536 35.6455 THIS ER 18.5634 " ETT 12,9412 12.7956 14-9175 33 1549 www 13 18. 39 16.209 34/9334 17.0199 38.3002 16.2924 16.9119 16.MY 14.6776 17.2919 17.5999 18957 WW.MAI 12.15 25 www.158 PLAN OF 14335 26.1924 SINCE 39.5569 19.078 12 AP 36.4775 33,0018 16 17 17,4304 38.2014 10.6141 A9TWEES 28.4123 19.8647 21 M61 20.2416 21.7050 13.4975 27.8544 ANNE M.750 35.9717 334954 47-8837 POSSE 228104 THEY 38 EMERE 12 19 DEAD WINE 11. SH11 ME " ANTHE 11.406 34.8976 MALLING www HE AUNTIE M.2191X 14.03. www 18.9117 1379 ATHIE LED AN 14. SAPRAS 101769 ACHING'S SE MAR AM APAHA 4. DHESIVE 14 1.3814 7 PIRURE THREASE TOCHE " Table 6 Present Value of an Annuity Due of S1 PVAD 1 (1/(1 jja)y)=(1+0) 3.06 2.16 M'S 7.45 12.99 1.91667 Mise 1.MAM 392743 Caves 3. 3.82051 174916 435418 480773 18/11 8.58595 50515 . 3.44583 6.4 5.17971 6.41/19 5.5110 $37056 7.11454 STABLES RIVILE 4.9927 AL PHOTS NAUM 0020 4.89278 SIFLEIN 4:58475 EMIN 05168 10 11 10:47130 LIME 9.16234 9.98 74635 7.3449 97087 731999 T 3,71996 12 10.0155 war " 37:25566 34 14.00 11.57514 13 18675 1323526 " 10.95000 11.63H 12.2 14 1310278 11.92953 13.64326 13-84936 12.91794 37 14. SFFTV 34.9110 13.56110 38 15. PHAF DESIRE 13.16567 31-739 12.334 12.78/19 18.39352 10, 81964 11.37966 91814 SURVIVE 11937 10.25 18.73225 35 9.74547 OLVER & MAJA 7.3447 6.88923 4.4812 3,49296 7.IMIE 1906 LE FOWIAT 7.ONLE 9.55948 M 11-JIMMY 35 18.6738 15.15536 17. 33 14.14064 15.678 1714 15 32398 14.04 14.11PM 11. 1919 35.87747 35.31348 24.133 14,00794 12.91818 L 844 25 38.88499 17.04 17.9417 14794 " 30. BLAPS 22 BAL 2155 2018045 19.01577 14.SMT 25.201 25 71258 29.34448 16.9T 17.44933 13.33165 14-26493 11.53876 3.96474 WIMMIN KOMITE 11.