Question: Iskut Inc Iskut provides its employees with a defined contribution pension

Iskut Inc. (Iskut) provides its employees with a defined-contribution pension plan. Each year the company is required to contribute $1,000 to an investment fund for each employee. In the year ended December 31, 2017, Iskut contributed $200,000 on behalf of its 230 employees.

a. What journal entry would Iskut make to record the contribution to the pension plan?
b. What other entries would be necessary? Explain. What would appear on the balance sheet about the pension plan on December 31, 2017?

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  • CreatedFebruary 26, 2015
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