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Scallion Company received the following reports of its defined benefit pension plan for the current calendar year. PBO Plan assets Balance, January 1 $420,000 Balance,

Scallion Company received the following reports of its defined benefit pension plan for the current calendar year. PBO Plan assets Balance, January 1 $420,000 Balance, January 1 $255,000 Service cost 195,000 Actual return 40,000 Interest cost Benefits paid 32,000 Annual contribution (86,000) Benefits paid 116,000 (86,000) Balance, December 31 $561,000 Balance, December 31 $325,000 The long-term expected rate of return on plan assets is 10% Assuming no other data are relevant, what is the pension expense for the year? Multiple Choice $227,000 $201500 $187,000 4. Multiple Choice $227,000. $201,500. $187,000 $265,000

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