On Jan. 1, 2020, the Francis Co. provided the following information in relation to a defined...
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On Jan. 1, 2020, the Francis Co. provided the following information in relation to a defined benefit plan: Fair value of plan assets Projected benefit obligation Prepaid/Accrued Benefit Cost- Surplus P9,000,000 7,500,000 P1,500,000 1,000,000 P500,000 Asset ceiling Effect of asset ceiling During the current year, the following data are gathered: 1. Current service cost 2. Actual return on plan assets 3. Contribution to the plan 4. Past service cost 5. Decrease in PBO due to change in actuarial assumptions 6. Asset ceiling-Dec. 31, 2020 7. Discount rate P1,050,000 1,350,000 1,500,000 300,000 750,000 1,800,000 10% REQUIRED: Compute for the correct amounts. Transfer final answers to the answer sheet. Erasures and alterations are not allowed in the answer sheet. SUBMIT SUPPORTING COMPUTATIONS TO GET CREDIT. A. For the trustee-bank 1. Employee benefit expense, 2020, before year-end adjusting entries 2. Employee benefit expense, 2020, after year-end adjusting entries 3. Remeasurement gain(loss), 2020(net) 4. Fair value plan assets, Dec. 31, 2020 5. Projected benefit obligation, Dec. 31, 2020- B. For the employer-audit client 6. Employee benefit expense, 2020 7. Fair value plan assets, Dec. 31, 2020 8. Projected benefit obligation, Dec. 31, 2020 9. Prepaid/Accrued Benefit Cost, Dec. 31, 2020 10. Remeasurement gain(loss), 2020(net) On Jan. 1, 2020, the Francis Co. provided the following information in relation to a defined benefit plan: Fair value of plan assets Projected benefit obligation Prepaid/Accrued Benefit Cost- Surplus P9,000,000 7,500,000 P1,500,000 1,000,000 P500,000 Asset ceiling Effect of asset ceiling During the current year, the following data are gathered: 1. Current service cost 2. Actual return on plan assets 3. Contribution to the plan 4. Past service cost 5. Decrease in PBO due to change in actuarial assumptions 6. Asset ceiling-Dec. 31, 2020 7. Discount rate P1,050,000 1,350,000 1,500,000 300,000 750,000 1,800,000 10% REQUIRED: Compute for the correct amounts. Transfer final answers to the answer sheet. Erasures and alterations are not allowed in the answer sheet. SUBMIT SUPPORTING COMPUTATIONS TO GET CREDIT. A. For the trustee-bank 1. Employee benefit expense, 2020, before year-end adjusting entries 2. Employee benefit expense, 2020, after year-end adjusting entries 3. Remeasurement gain(loss), 2020(net) 4. Fair value plan assets, Dec. 31, 2020 5. Projected benefit obligation, Dec. 31, 2020- B. For the employer-audit client 6. Employee benefit expense, 2020 7. Fair value plan assets, Dec. 31, 2020 8. Projected benefit obligation, Dec. 31, 2020 9. Prepaid/Accrued Benefit Cost, Dec. 31, 2020 10. Remeasurement gain(loss), 2020(net)
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A For the trusteebank Employee Benefit Expense 2020 before yearend adjusting entries Current Service ... View the full answer
Related Book For
Intermediate Accounting Reporting and Analysis
ISBN: 978-1337788281
3rd edition
Authors: James M. Wahlen, Jefferson P. Jones, Donald Pagach
Posted Date:
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