Teal Company adopts acceptable accounting for its defined benefit pension plan on January 1, 2019, with...
Fantastic news! We've Found the answer you've been seeking!
Question:
Transcribed Image Text:
Teal Company adopts acceptable accounting for its defined benefit pension plan on January 1, 2019, with the following beginning balances: plan assets $197.700; projected benefit obligation $254,000. Other data relating to 3 years operation of the plan are as follows. Annual service cost Settlement rate and expected rate of return Actual return on plan assets Annual funding (contributions) Benefits paid Prior service cost (plan amended, 1/1/20) Amortization of prior service cost Change in actuarial assumptions establishes a December 31, 2021. projected benefit obligation of: 2019 $15,800 10 % 18.300 15,800 13,700 2020 $18,800 10 % 21,810 40,800 16,700 157.900 54,900 2021 $25.900 10 % 24,500 48,900 20,600 42,400 529,000 Prepare the journal entries (from the worksheet) to reflect all pension plan transactions and events at December 31 of each year: (Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select No Entry for the account titles and enter O for the amounts.) Account Titles and Explanation Date Dec. 31, 2019 Dec. 31. 2020 Dec. 31. 2021 Debit Credit 1144 Teal Company adopts acceptable accounting for its defined benefit pension plan on January 1, 2019, with the following beginning balances: plan assets $197.700; projected benefit obligation $254,000. Other data relating to 3 years operation of the plan are as follows. Annual service cost Settlement rate and expected rate of return Actual return on plan assets Annual funding (contributions) Benefits paid Prior service cost (plan amended, 1/1/20) Amortization of prior service cost Change in actuarial assumptions establishes a December 31, 2021. projected benefit obligation of: 2019 $15,800 10 % 18.300 15,800 13,700 2020 $18,800 10 % 21,810 40,800 16,700 157.900 54,900 2021 $25.900 10 % 24,500 48,900 20,600 42,400 529,000 Prepare the journal entries (from the worksheet) to reflect all pension plan transactions and events at December 31 of each year: (Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select No Entry for the account titles and enter O for the amounts.) Account Titles and Explanation Date Dec. 31, 2019 Dec. 31. 2020 Dec. 31. 2021 Debit Credit 1144
Expert Answer:
Answer rating: 100% (QA)
Items Balance on Jan12019 Service Cost Interest Cost 25400010 Actual Return Unexpected loss197700101... View the full answer
Related Book For
Governmental and Nonprofit Accounting
ISBN: 978-0132751261
10th edition
Authors: Robert Freeman, Craig Shoulders, Gregory Allison, Robert Smi
Posted Date:
Students also viewed these accounting questions
-
Concord Fabricators produces protective covers for smart phones. Since the covers must be customized to each smart phone model, Concord uses a job order costing system. On September 1, the company...
-
Prepare the journal entries for Boegner University, Problem, assuming that it is a nongovernment, not-for-profit university. In Problem, the trial balance of Boegner University, a government...
-
The following are all independent situations. Prepare the journal entries for deferred tax on the creation or reversal of any temporary differences. Explain in each case the nature of the temporary...
-
Two charges are located in the (x, y) plane as shown. The positive a direction is to the right and the positive y direction is upwards. The fields produced by these charges are ob- served at a point...
-
Do women and men have different opinions about affirmative action? Based on data from the GSS2010, the output in Figure 10.15 shows respondents sex (SEX) and attitudes toward affirmative action...
-
Do action and reaction forces act in succession or simultaneously?
-
For pumping molasses, it is preferable to employ (a) reciprocating pump (b) centrifugal pump (c) open impeller pump (d) rotary pump
-
The first decade of the 21st century witnessed a flurry of losses, bankruptcies, acquisitions, and strategic partnerships in the airline industry. The heavily levered firms in the industry are...
-
The market portfolio of the Tierra del Fuego stock market has an expected return E r( ) M = 22% and a standard deviation of returns M = 19%. The risk-free rate is rf = 7%. a. What is the equation of...
-
Is the mean or the median more likely to provide a better measure of typical sales revenue for companies included in the Fortune 500?
-
Use the Kruskal algorithm to find a minimum spanning tree for the graph G defined via V(G) = {a, b, c, d,e} E(G) = {ab, bc, cd, de, ae} VG(ab) = {a,b} va (bc) = {b,c} VG (cd) = {c,d} VG(de) = {d, e}...
-
Calculate the amount of Economic Capital for Net Profit on a 95% confidence level assuming a normal distribution, rounded to the nearest ($'000). a. 51,000 b. 23,486 C. 75,634 d. 70,458 e. 39,150
-
Time left 0:52:13 Which training evaluation barrier do you think is the most difficult to overcome and why? Additionally, provide a strategy for how you would address it. Be specific. (3 marks) 7 A...
-
Which of the five dysfunctions of a team (presented in Figure 12.6 on page 271) would be the greatest barriers to virtual team productivity? Defend your answer. Figure 12.6 What is behind Alliance...
-
How truly do drive elements and social impact instruments, for example, social personality hypothesis and gathering polarization, deeply mold hierarchical way of behaving and decision-production at...
-
Calculate the cost of goods sold expense if the company uses the average cost inventory valuation method. Calculate the cost of goods sold expense if the company uses the FIFO inventory valuation...
-
Computer fraud is easiest at the data collection stage. Why? Since all fraud involves some form of financial misstatement, how is Fraudulent Statement fraud different? Explain the problems associated...
-
If your school has a subscription to the FASB Codification, go to aaahq.org/ ascLogin.cfm to log in and prepare responses to the following. (a) What is the stock dividend? (b) What is a stock split?...
-
The finance director of the Bethandy Independent School District is making preliminary estimates of the budget outlook for the General Fund for the 20X8 fiscal year. These estimates will permit the...
-
A city entered into a capital lease of equipment for a General Fund department. An initial payment of $30,000 was required. The city recorded the payment as current operating expenditures for rent of...
-
The State of Nevada levies a tax on motor fuel purchased in the state. The state distributes the portion of the tax collected in each county to that county the month after the taxes are collected....
-
What is the value of the finite population correction factor in the formula for \(\sigma_{\bar{X}}^{2}\) when (a) \(n=8\) and \(N=640\) ? (b) \(n=100\) and \(N=8,000\) ? (c) \(n=250\) and...
-
When we sample from an infinite population, what happens to the standard error of the mean if the sample size is (a) increased from 40 to 1,000 ? (b) decreased from 256 to 65 ? (c) increased from 225...
-
Prove that \(\mu_{\bar{X}}=\mu\) for random samples from discrete (finite or countably infinite) populations.
Study smarter with the SolutionInn App