Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

the top 3 pics are supporting information. the Bottom 3 are what need to be answered Blossom Company received the following selected information from its

the top 3 pics are supporting information. the Bottom 3 are what need to be answered
image text in transcribed
image text in transcribed
image text in transcribed
image text in transcribed
image text in transcribed
image text in transcribed
Blossom Company received the following selected information from its pension plan trustee concerning the operation of the company's defined benefit pension plan for the year ended December 31, 2020. January 1, 2020 $1,517.000 784,000 December 31, 2020 $1,545,000 1,107,400 Projected benefit obligation Market-related and fair value of plan assets Accumulated benefit obligation Accumulated OCI (G/L)-Net gain 1,689,300 1,568,000 0 (201,700 The service cost component of pension expense for employee services rendered in the current year amounted to $78,000 and the amortization of prior service cost was $121.300. The company's actual funding contributions) of the plan in 2020 amounted to $245,000. The expected return on plan assets and the actual rate were both 10%; the interest/discount settlement) rate was 10% Accumulated other comprehensive income (PSC) had a balance of $1.213,000 on January 1, 2020. Assume no benefits paid in 2020. Determine the amounts of the components of pension expense that should be recognized by the company in 2020. (Enter amounts that reduce pension expense with either a negative sign preceding the number eg. -45 or parenthesis eg. (45).) Components of Pension Expense 78.000 Service Cost 151.700 Interest on Projected Benefit Obligation (78.400) Expected Return on Plan Assets 121.300 Amortization of Prior Service Cost 222.600 Prepare the journal entry to record pension expense and the employer's contribution to the pension plan in 2020. (Credit account titles are automatically indented when amount is entered. Do not indent manually . If no entry is required, select "No Entry" for the accoun titles and enter for the amounts.) Account Titles and Explanation Debit Credit Pension Expense 272,600 Pension Asset/Ljability 295,400 Other Comprehensive Income (G/L) 201,700 Cash 245.000 Other Comprehensive Income (PSC) 121,300 (To record pension expense and employer's contribution) Indicate the pension-related amounts that would be reported on the income statement and the balance sheet for Blossom Company for the year 2020. Blossom Company Income Statement (Partial) Blossom Company Comprehensive Income Statement Blossom Company Comprehensive Income Statement $XXXX $ > $XXXX Blossom Company Balance Sheet (Partial) $ $

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Payroll Accounting

Authors: Bernard J. Bieg, Judith A. Toland

2013 edition

113396253X, 978-1133962533

More Books

Students also viewed these Accounting questions