When Turner Company adopted its defined benefit pension plan on January 1, 2019, it awarded retroactive benefits to its employees. These retroactive benefits resulted in a prior service cost of $980,000 that created a projected benefit obligation of the same amount on that date (which it did not fund). Turner decided to amortize the prior service cost using the years-of-future-service method. Turners actuary and funding agency have provided the following additional information for 2019 and 2020: (1) service cost: 2019, $187,000; 2020, $189,000; (2) plan assets: 1/1/2019, $0; 1/1/2020, $342,000; (3) expected long-term (and actual) rate of return on plan assets: 2020, 9%; (4) discount rate for both 2019 and 2020: 8%; and (5) amortization fraction for prior service cost: 2019, 80/980; 2020, 79/980. Turner contributed $342,000 and $336,000 to the pension fund at the end of 2019 and 2020, respectively. No retirement benefits were paid in either year. There are no other components of Turners pension expense. Ignore any adjustment of accumulated other comprehensive income.

Required:

Prepare a pension plan worksheet that includes the calculation of Turners pension expense for 2019 and 2020, the reconciliation of the beginning and ending projected benefit obligation for 2019 and 2020, the reconciliation of the beginning and ending plan assets for 2019 and 2020, and the journal entry to record the pension expense at the end of 2019 and 2020, indicating whether each component is a debit or credit.

CHART OF ACCOUNTSTurner CompanyGeneral Ledger

	ASSETS
111	Cash
121	Accounts Receivable
141	Inventory
152	Prepaid Insurance
181	Equipment
198	Accumulated Depreciation

	LIABILITIES
211	Accounts Payable
231	Salaries Payable
250	Unearned Revenue
251	Accrued/Prepaid Pension Cost
261	Income Taxes Payable

	EQUITY
311	Common Stock
331	Retained Earnings
916	Other Comprehensive Income: Prior Service Cost

	REVENUE
411	Sales Revenue

	EXPENSES
500	Cost of Goods Sold
511	Insurance Expense
512	Utilities Expense
521	Salaries Expense
522	Pension Expense
532	Bad Debt Expense
540	Interest Expense
541	Depreciation Expense
559	Miscellaneous Expenses
910	Income Tax Expense

Prepare a pension plan worksheet that includes the calculation of Turner's pension expense for 2019 and 2020, the reconciliation of the beginning and ending projected benefit obligation for 2019 and 2020, the reconciliation of the beginning and ending plan assets for 2019 and 2020.

Worksheet Instructions

TURNER COMPANY

Pension Plan Worksheet

2019 and 2020

1		2019 Amount	2019 Pension Expense	2020 Amount	2020 Pension Expense
2	Beginning projected benefit obligation
3	Interest cost
4	Service cost
5	Benefits paid
6	Ending projected benefit obligation
7	Beginning plan assets
8	Expected rate of return (Enter as a decimal)
9	Expected return
10	Beginning plan assets
11	Actual return
12	Contributions
13	Benefits paid
14	Ending plan assets
15	Prior service cost
16	Amortization fraction	80/980.00		79/980.00
17	Amortization of prior service cost
18	Net gain or loss	0.00	0.00	0.00	0.00
19	Total pension expense
20	Contribution (cash)
21	Adjustment to accrued/prepaid pension cost

Prepare a pension plan worksheet that includes the calculation of Turner's pension expense for 2019 and 2020, the reconciliation of the beginning and ending projected benefit obligation for 2019 and 2020, the reconciliation of the beginning and ending plan assets for 2019 and 2020.

Prepare the entries to record the pension expense and amortization of prior service cost on December 31, 2019 and 2020.

Please solve the worksheet and general journal! Thanks