The following items appear on Brueggen Company's financial statements

1. Under the caption Assets:

Pension asset/liability

2. Under the caption Liabilities:

Pension asset/liability

3. Under the caption Stockholders Equity:

Prior service cost as a component of accumulated other Comprehensive Income.

4. On the income statement:

Pension expense.

Instructions:

Explain the significance of each of the items above on corporate financial statements. (Note: All items set forth above are not necessarily to be found on the statements of a single company.)