Dayte Corporation reports the following January 1, 2014 balances for its defined benefit pension plan, which it accounts for using the immediate recognition approach under IFRS: plan assets, $460,000; defined benefit obligation, $460,000. Other data relating to three years of operation of the plan are as follows:

Instructions
(a) Prepare and complete a pension worksheet for 2014.
(b) Prepare a continuity schedule of the projected benefit obligation over the three-year period.
(c) Prepare a continuity schedule of the plan assets over the three-year period.
(d) Determine the pension expense for each of 2014, 2015, and 2016.
(e) Prepare the journal entries to reflect the pension plan transactions and events for each year.
(f) Prepare a schedule reconciling the pension plan's funded status with the pension amounts reported on the statement of financial position over the three-year period.
*(g) Determine the pension expense for each of 2014, 2015, and 2016 assuming that the company elects to apply the immediate recognition approach under ASPE.

Transcribed Image Text:

2014 $36,800 39,100 2015 2016 Annual service cost Discount rate and expected rate of return Actual return on plan assets Funding of current service cost Funding of past service cost Benefits paid Past service cost (plan amended, 1/1/15) Change in actuarial assumptions establishes a Dec. 31 $ 43,700 10% 50,370 43,700 69,000 37,720 368,000 $59,800 10% 55,200 59,800 80,500 48,300 10% 36,800 32,200 2016 defined benefit obligation of 1,196,000