Sheffield Co. has the following postretirement benefit plan balances on January 1, 2020. Accumulated postretirement benefit obligation $2,237,000 Fair value of plan assets 2,237,000 The interest (settlement) rate applicable to the plan is 10%. On January 1, 2021, the company amends the plan so that prior service costs of $177,000 are created. Other data related to the plan are: 2021 $84,000 12,000 Service costs Prior service costs amortization Contributions (funding) to the plan Benefits paid Actual return on plan assets Expected rate of return on assets 2020 $74,000 0 45.000 40,000 140.000 35,000 46,000 120,000 8% 6% Prepare a worksheet for the postretirement plan in 2020. (Enter all amounts as positive.) Sheffield Co. Postretirement Benefit Worksheet-2020 General Journal Entries OCI-Prior OCI - Gain/ Service Cost Loss Memo Record Annual Expense Postretirement Asset/ Liability APBO Plan Assets Balance, Jan. 1, 2020 Service cost Interest cost Actual return 00000000 00000000 11. 0000000000 Unexpected loss ,0000000000 1 0001110010 1 0000000000 0000000000 Contributions Benefits Journal entry for 2020 Accumulated OCI, Dec. 31, 2019 Balance, Dec. 31, 2020 Prepare any journal entries related to the postretirement plan that would be needed at December 31, 2020. (Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter o for the amounts.) Debit Credit Date Account Titles and Explanation Dec. 31, 2020 Prepare a worksheet for 2021. (Enter all amounts as positive.) Sheffield Co. Postretirement Benefit Worksheet-2020, 2021 General Journal Entries OCI-Prior OCI - Gain/ Service Cost Loss Memo Record Annual Expense Cash Postretirement Asset/ Liability Plan Assets $2,237,000 Dr. APBO $2,237,000 Cr. 74,000 Cr. 223,700 Cr. $74,000 Dr. 223,700 Dr. 140,000 Cr. 38,960 Cr. 140,000 Dr. $38,950 Dr. $45,000 Cr. 40,000 Dr. 45,000 Dr. 40,000 Cr. $118,740 Dr. $45,000 Cr. 38,960 Dr. 112,700 Cr. 38,950 Dr. 112,700 Cr. 2,494,700 r. 2,382,000 Dr. Balance, Jan. 1, 2020 Service cost Interest cost Actual return Unexpected loss Contributions Benefits Journal entry for 2020 Accumulated OCI, Dec. 31, 2019 Balance, Dec. 31, 2020 Additional PSC, 1/1/2021 Balance, Jan. 1, 2021 Service cost Interest cost Actual return Unexpected loss Amortization of PSC Contributions UUUUUUUUUU UUUUUUUU99 UUUUUUUUUUUU &000000000000 CliclitUTII Dulci1000000 000000000000 Benefits Journal entry for 2021 Accumulated OCI, Dec. 31, 2020 Balance, Dec. 31, 2021 Prepare journal entries related to the postretirement plan as of December 31, 2021. (Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter o for the amounts.) Debit Credit Date Account Titles and Explanation Dec. 31, 2021 Indicate the postretirement-benefit-related amounts reported in the 2021 financial statements. (Enter negative amounts using either a negative sign preceding the number e.g.-15,000 or parentheses e.g. (15,000).) Sheffield Co. Partial Income Statement Sheffield Co. Comprehensive Income Statement $XXXX $XXXX Sheffield Co. Partial Balance Sheet
