Bonita Company sponsors a defined benefit pension plan. The corporation’s actuary provides the following information about the plan. January 1, 2020 December 31, 2020 Vested benefit obligation $1,520 $1,930 Accumulated benefit obligation 1,930 2,700 Projected benefit obligation 2,510 3,360 Plan assets (fair value) 1,730 2,670 Settlement rate and expected rate of return 10% Pension asset/liability 780 ? Service cost for the year 2020 400 Contributions (funding in 2020) 690 Benefits paid in 2020 200 (a1) Partially correct answer icon Your answer is partially correct. Prepare a 2020 pension worksheet. (Enter all amounts as positive.) BONITA COMPANY Pension Worksheet—2020 General Journal Entries Memo Record Entries Items Annual Pension Expense Cash OCI— Gain/ Loss Pension Asset/ Liability Projected Benefit Obligation Plan Assets
Bonita Company sponsors a defined benefit pension plan. The corporation’s actuary provides the following information about the plan. January 1, 2020 December 31, 2020 Vested benefit obligation $1,520 $1,930 Accumulated benefit obligation 1,930 2,700 Projected benefit obligation 2,510 3,360 Plan assets (fair value) 1,730 2,670 Settlement rate and expected rate of return 10% Pension asset/liability 780 ? Service cost for the year 2020 400 Contributions (funding in 2020) 690 Benefits paid in 2020 200 (a1) Partially correct answer icon Your answer is partially correct. Prepare a 2020 pension worksheet. (Enter all amounts as positive.) BONITA COMPANY Pension Worksheet—2020 General Journal Entries Memo Record Entries Items Annual Pension Expense Cash OCI— Gain/ Loss Pension Asset/ Liability Projected Benefit Obligation Plan Assets
Intermediate Accounting: Reporting And Analysis
3rd Edition
ISBN:9781337788281
Author:James M. Wahlen, Jefferson P. Jones, Donald Pagach
Publisher:James M. Wahlen, Jefferson P. Jones, Donald Pagach
Chapter19: Accounting For Post Retirement Benefits
Section: Chapter Questions
Problem 4E
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Question
Bonita Company sponsors a defined benefit pension plan. The corporation’s actuary provides the following information about the plan.
January 1, 2020 | December 31, 2020 | |||
Vested benefit obligation | $1,520 | $1,930 | ||
Accumulated benefit obligation | 1,930 | 2,700 | ||
Projected benefit obligation | 2,510 | 3,360 | ||
Plan assets (fair value) | 1,730 | 2,670 | ||
Settlement rate and expected rate of return | 10% | |||
Pension asset/liability | 780 | ? | ||
Service cost for the year 2020 | 400 | |||
Contributions (funding in 2020) | 690 | |||
Benefits paid in 2020 | 200 |
(a1)
Partially correct answer icon
Your answer is partially correct.
Prepare a 2020 pension worksheet. (Enter all amounts as positive.)
BONITA COMPANY
Pension Worksheet—2020 |
||||||||||||
General
|
Memo Record Entries
|
|||||||||||
Items
|
Annual Pension
Expense |
Cash
|
OCI— Gain/
Loss |
Pension Asset/
Liability |
Projected Benefit
Obligation |
Plan
Assets |
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