113B2 - PBO beg pbo Service Cost INT cost prior service...

Info icon This preview shows page 1. Sign up to view the full content.

PBO- beg pbo + Service Cost + INT cost + prior service cost- from current period +actuarial losses incurred in current period – Actuarial gains incurred – benefits paid to retirees. Plan assets- beg fair value + Contributions + actual return – benefits paid. Fv of plan assets > pbo, overfunded pension asset (non current) FV of plan assets < PBO, underfunded, pension liability. Beg funded status + contributions + expected return on plan assets – service cost- interest cost – prior service cost incurred in current period due to plan amendment + net gains incurred during curr period – net losses incurred during current period. All overfunded pension plans (fair value of plan assets > PBO) are aggregated and reported in total as a noncurrent asset. All underfunded pension plans (fair value of plan assets < PBO) are aggregated and reported in total as current liability, a noncurrent liability, or both. Underfunded pension plans are reported as a current liability to the extent that the benefit obligation payable within the next 12 months exceeds the fair value of the plans’ assets. Interest cost = Beginning of period PBO × settlement rate. Actual return on plan assets = Ending fair value of plan assets – Beginning fair value of plan assets - contributions + benefits paid to retirees. Expected return on plan assets- Beginning fv of plan assets × expected rate of return on plan assets. Straight -line: Beginning unrecognized prior service cost ÷ average remaining service-years of the affected employees. Corridor- beg g/l – 10% of the greater of beg pbo or plan asset/ Avg remaining service life.
Image of page 1
This is the end of the preview. Sign up to access the rest of the document.
  • Fall '14
  • Accounting, Generally Accepted Accounting Principles

{[ snackBarMessage ]}

What students are saying

  • Left Quote Icon

    As a current student on this bumpy collegiate pathway, I stumbled upon Course Hero, where I can find study resources for nearly all my courses, get online help from tutors 24/7, and even share my old projects, papers, and lecture notes with other students.

    Student Picture

    Kiran Temple University Fox School of Business ‘17, Course Hero Intern

  • Left Quote Icon

    I cannot even describe how much Course Hero helped me this summer. It’s truly become something I can always rely on and help me. In the end, I was not only able to survive summer classes, but I was able to thrive thanks to Course Hero.

    Student Picture

    Dana University of Pennsylvania ‘17, Course Hero Intern

  • Left Quote Icon

    The ability to access any university’s resources through Course Hero proved invaluable in my case. I was behind on Tulane coursework and actually used UCLA’s materials to help me move forward and get everything together on time.

    Student Picture

    Jill Tulane University ‘16, Course Hero Intern