E20-1 - amount e.g 10 5 2 Description/Account Pension...

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E20-1 Your answer is correct. (Pension Expense, Journal Entries) The following information is available for the pension plan of Radcliffe Company for the year 2012. Actual and expected return on plan assets Benefits paid to retirees Contributions (funding) Interest/discount rate Prior service cost amortization Projected benefit obligation, January 1, 2012 Service cost (a) Compute pension expense for the year 2012. $ 103,000 (b) Prepare the journal entry to record pension expense and the employer's
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Unformatted text preview: amount, e.g. 10, 5, 2.) Description/Account Pension Expense Cash Other Comprehensive Income (PSC) Pension Asset/Liability Solution E20-1 (a) Computation of pension expense Service cost Interest cost ($500,000 × 0.10) Expected return on plan assets Prior service cost amortization Pension expense for 2012 (b) Description/Account Debit Pension Expense 103,000 Cash Other Comprehensive Income (PSC) Pension asset/Liability...
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