Swifty Corporation is a privately owned company that follows ASPE. On December 31, 2019, Swifty's financial records indicated the following information related to the company's defined benefit pension plan: Defined Benefit Obligation $7,650.800 7,249,800 Pension Plan Assets On January 1, 2020, Swifty acquired the operations of SZL Ltd. As one of the conditions of the purchase, Swifty agreed that SZLs employees would be included in Swifty's defined benefit pension plan and would be granted credit for the past service of SZL's employees. The actuary estimated the value of the prior service amount granted on January 1, 2020 to be $339,300. Swifty's actuary provided the following information on December 31, 2020: Current year service cost Employer contributions for the year Benefits paid to retirees Actuarial increase in pension obligations Expected return on assets Actual return on assets Discount rate $356,700 423,300 188.700 134,200 6% 5% 6% Prepare a pension worksheet for Swifty Corporation for the year ending December 31, 2020. Annual Pension Expense Balance, January 1, 2020 > (a) Current Service Cost 356700 Dr. (b) Past Service Cost 339300 Dr. > (c) Net Interest/Finance Cost Dr. > (d) Asset Remeasurement Gain/Loss 72498 Dr. > (e) Actuarial Gain/Loss 134200 Dr. (f) Employer Contributions to Pension Fund Benefits Paid to Retirees from Pension Fund > Pension Expense Entry-2020 Dr. Net Funding Entry > Balance, December 31, 2020 Prepare a pension worksheet for Swifty Corporation for the year ending December 31, 2020. General Journal Entries Net Defined Liability/ Asset Cash > > Cr. > > > > > > > 423300 Cr. > > > > > > 423300 Cr. Dr. > Prepare a pension worksheet for Swifty Corporation for the year ending December 31, 2020. Memo Record Net Defined Liability/ Asset Defined Benefit Obligation Plan Assets Cr. Cr. > Dr. Cr. Cr. > Cr. Dr. Cr. Dr. Cr. (a) Current Service Cost 356700 Dr. (b) Past Service Cost 339300 Dr. > (c) Net Interest/Finance Cost Dr. > (d) Asset Remeasurement Gain/Loss 72498 Dr. > (e) Actuarial Gain/Loss 134200 Dr. (f) Employer Contributions to Pension Fund Benefits Paid to Retirees from Pension Fund > Pension Expense Entry-2020 Dr. Net Funding Entry > Balance, December 31, 2020 Prepare a pension worksheet for Swifty Corporation for the year ending December 31, 2020. General Journal Entries Net Defined Liability/ Asset Cash > > Cr. > > > > > > > 423300 Cr. > > > > > > 423300 Cr. Dr. > Prepare a pension worksheet for Swifty Corporation for the year ending December 31, 2020. Memo Record Net Defined Liability/ Asset Defined Benefit Obligation Plan Assets Cr. Cr. > Dr. Cr. Cr. > Cr. Dr. Cr. Dr. Cr.
