Question: I must be figuring the long term rate wrong. Doe co. received the following reports of its defined benefit pension plan for the current calendar
I must be figuring the long term rate wrong. Doe co. received the following reports of its defined benefit pension plan for the current calendar year.
PB0:
Bal. Jan 1 = $ 430000
Service cost= $199,000
Interest cost= $ 39,000
Benefits paid = ($89,000)
Bal. Dec 31 = $ 579,000
Plan Assets
Bal., Jan. 1= $252,000
Actual return = $ 37,000
Annual Contribution= $119,000
Benefits paid = $ (89,000)
Bal, Dec 31 = $319,000
The long-term rate of return on plan assets is 10%. Assuming no other data are relevant, what is the pension expense for the year?
Step by Step Solution
3.53 Rating (160 Votes )
There are 3 Steps involved in it
Computation of the Pension E... View full answer
Get step-by-step solutions from verified subject matter experts
Document Format (1 attachment)
68-B-C-F-C-C (78).xlsx
300 KBs Excel File
Study Help