q46237041__000__37.pdf - Question In ( Accounting ) . ( :...

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Question In ( Accounting ). ( : Question : ) .P20.8Lemke Company sponsors a defined benefit pension plan for its employees. The following data relate to the operation of the plan for the years 2020and 2021.20202021Projected benefit obligation, January 1$600,000Plan assets (fair value and market-related value), January 1410,000Pension asset/liability, January 1190,000Cr.Prior service cost, January 1160,000Service cost40,000$ 59,000Settlement rate10%10%Expected rate of return10%10%Actual return on plan assets36,00061,000Amortization of prior service cost70,00050,000Annual contributions97,00081,000Benefits paid retirees31,50054,000Increase in projected benefit obligation due tochanges in actuarial assumptions87,000-0-Accumulated benefit obligation at December 31721,800789,000Average service life of all employees20 yearsVested benefit obligation at December 31464,000Instructions1. Prepare a pension worksheet in Excel (showing the appropriate formulas) presenting both years 2020 and 2021 and accompanying computations andamortization of the loss (2021) using the corridor approach.
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Term
Winter
Professor
Hashem A. Hashem
Tags
10, Cash balance plan, 59 000 10, 600 000 410 000 190 000

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