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Swiss Chard Ltd. uses IFRS. Presented below is information related to the defined benefit pension plan of Swiss Chard Ltd. for the year 2023: Defined
| Swiss Chard Ltd. uses IFRS. Presented below is information related to the defined benefit pension plan of Swiss Chard Ltd. for the year 2023: | ||||||||||
| Defined benefit obligation, January 1 | $375,000 | |||||||||
| Fair value of plan assets, January 1 | 350,000 | |||||||||
| Current service cost | 300,000 | |||||||||
| Interest (discount) rate | 10% | |||||||||
| Expected and actual return on plan assets | 9% | |||||||||
| Past service cost (as of January 1) | 25,000 | |||||||||
| Actuarial loss | 14,900 | |||||||||
| Contributions to plan | 290,000 | |||||||||
| Remeasurement loss on plan assets | 11,500 | |||||||||
| Payments to retirees | 250,000 | |||||||||
| Instructions | ||||||||||
| a) | Calculate the defined benefit expense to be reported on the income statement for 2023. | |||||||||
| b) | Calculate the amount to be shown as OCI for 2023. | |||||||||
| c) | Calculate the fair value of the plan assets at December 31, 2023. | |||||||||
| d) | Prepare the journal entries to reflect the accounting for the company's pension plan for the year ended December 31, 2023. |
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Governmental Accounting Auditing And Financial Reporting
Authors: Stephen J. Gauthier
1st Edition
0891252754, 978-0891252757
