Scallion Company received the following reports of its defined benefit pension plan for the current calendar year: PBO Plan assets Balance, January 1 $ 460,000 Balance, January 1 $ 257,000 Service cost 199,000 Actual return 33,000 Interest cost 31,000 Annual contribution 116,000 Benefits paid (89,000 ) Benefits paid (89,000 ) Balance, December 31 $ 601,000 Balance, December 31 $ 317,000 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?