Wells Fargo Adopted a new defined-benefit pension plan for its employees on 1/1/18. All existing employees at that date were granted benefits for their prior service with Wells Fargo and that decision resulted in a 1/1/18 projected PBO of $300,000. The remaining service life for all amortization is 15 years. A 5% discount rate is used to determine the PBO and the investment return expected on plan assets is 7%. Wells Fargo contributed $200,000 to the plan on 1/1/18, which had declined to $187,500 by 12/31/18 as a result of investment loss. During 2018, Wells Fargo employees earned additional plan benefits of $89,000. What is the amount of pension expense per GAAP for FY 2018? 1) $136,500 2) $116,000 3) $110,000 4) $114,000