Sandhill Foods Inc. sponsors a postretirement medical and dental benefit plan for its employees. The following balances relate to this plan on January 1, 2017. Plan assets $200,400 Expected postretirement benefit obligation 819,600 Accumulated postretirement benefit obligation 200,400 No prior service costs or OCI balances exist. As a result of the plans operation during 2017, the following additional data are provided by the actuary. Service cost is $70,800 Discount rate is 10% Contributions to plan are $64,600 Expected return on plan assets is $10,200 Actual return on plan assets is $15,200 Benefits paid to employees are $44,400 Average remaining service to full eligibility: 20 years

Using the preceding data, compute the net periodic postretirement benefit cost for 2017 by preparing a worksheet that shows the journal entry for postretirement expense and the year-end balances in the related postretirement benefit memo accounts. (Assume that contributions and benefits are paid at the end of the year.) (Enter all amounts as positive.)

SANDHILL FOODS INC. Postretirement Benefit Worksheet2017 General Journal Entries Memo Record Annual Postretirement Expense Postretirement Asset/ Liability OCIGain/ Loss Cash APBO Plan Assets Items Balance, Jan. 1, 2017 Service cost Interest cost Actual return Unexpected gain Contributions Benefits Journal entry for 2017 Accumulated oCI, Dec. 31, 2016 Balance, Dec. 31, 2017