04-18-12 Class26 Ch 20 Pensions

5 years compute shins minimum amortization of pension

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Unformatted text preview: 0,000 135,000 ÷ 7.5 $18,000 Homework Examples review . Shin Corporation had a projected benefit obligation of $3,100,000 and plan assets of $3,300,000 at Shin January 1, 2012. Shin also had a net actuarial loss of $465,000 in accumulated OCI at January 1, 2012. The average remaining service period of Shin's employees is 7.5 years. Compute Shin's minimum amortization of pension loss amortization Chapter 18-27 What you will need to know for the exam Distinguish between accounting for the employer’s pension plan and accounting for the pension fund. Identify types of pension plans and their characteristics. Explain alternative measures for valuing the pension obligation. List the components of pension expense. Be aware of the complexity of the computations and dependency on actuarial computations . Chapter 18-28 Accounting for Pensions and Postretirement Benefits Accounting for Pensions and Postretirement Benefits Nature of Nature Pension Plans Pension Accounting for Accounting Pensions Pensions Defined Defined contribution plan contribution Defined-benefit Defined-benefit plan plan Role of actuaries Alternative Alternative measures of liability liability Recognition of Recognition net funded status net Components of Components pension expense pension Chapter 18-29 Nature of Pension Plans Nature of Pension Plans A Pension Plan is an arrangement whereby an employer provides benefits (payments) to employees after they retire for services they provided while they were working. Pension Plan Pension Plan Administrator Administrator Employer Employer Retired Employees Chapter 18-30 Contributions Benefit Payments Assets & Liabilities LO 1 Distinguish between accounting for the employer’s pension plan and accounting for the pension fund. Nature of Pension Plans Nature of Pension Plans Some pension plans are: Contributory: employees voluntarily make payments to increase their benefits. Noncontributory: employer bears the entire cost. Qualified pension plans: offer tax benefits. Pension fund should be a separate legal and accounting entity. Chapter 18-31 LO 1 Distinguish between accounting for the employer’s pension plan and accounting for the pension fund. Types of Pension Plans Types of Pensi...
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This note was uploaded on 04/02/2013 for the course ACCT 415 at USC.

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