The following information pertains to a pension plan for Guccii Company that recognizes only the minimum amortization of unrecognized gains and losses using the corridor approach. Account Balances Jan. 1, Year 1 Accumulated OCI-Pension Gain/Loss $0 considering Year 1 actuarial loss Projected Benefit Obligation, not Plan Assets Accumulated OCI-Prior Service 180,000 72,000 Cost (average remaining service life of employees covered under prior service cost grant: 2 years) 24,000 Activity Actuarial loss, Year 1 (determined Jan 1, Year 1 $36,000 Service cost, Year 1 36,000 Service cost, Year 2 42,000 Funding amount, Year 1 48,000 Funding amount, Year 2 60,000 Actual return on fund in Year 1 5,400 Actual return on fund in Year 2 7,200 Other Discount rate Expected rate of return on fund assets No benefits were paid in either year 10% 12% Average remaining service period in years for amortization of any pension gain/loss 12 Required a. Compute pension expense for Year 1. $ b. For Year 2, compute the following amounts. Note: Round answers to the nearest whole dollar. 1. Plan asset balance, January 1 of Year 2. $