Answered step by step
Verified Expert Solution
Question
1 Approved Answer
Smith, Inc. has a pension plan with the following data available for 2018 and 2019: 2018 2019 Service cost $ 30,000 $ 34,000 Interest cost
Smith, Inc. has a pension plan with the following data available for 2018 and 2019:
2018 | 2019 | |||||
Service cost | $ | 30,000 | $ | 34,000 | ||
Interest cost | $ | 18,000 | $ | 20,000 | ||
Actual return on plan assets | $ | 15,000 | $ | 21,600 | ||
Beginning of year plan assets | $ | 200,000 | $ | 240,000 | ||
Discount rate | 8 | % | 8 | % | ||
Expected return on plan assets | 8 | % | 8 | % | ||
The adjustment to OCI for gain or loss from the return on plan assets for 2018 is:
Multiple Choice
unknown from information provided.
$1,000 loss.
$1,000 gain.
$0.
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started