Mount Co. has the following defined benefit pension plan balances on January 1, 2010.

Defined benefit obligation ............$4,500,000

Fair value of plan assets ..................4,500,000

The discount rate applicable to the plan is 10%. On January 1, 2011, the company amends its pension agreement so that past service costs of $600,000 are created. Other data related to the pension plan are:

Instructions
(a) Prepare a pension worksheet for the pension plan in 2010.
(b) Prepare any journal entries related to the pension plan that would be needed at December 31, 2010.
(c) Prepare a pension worksheet for 2011 and any journal entries related to the pension plan as of December 31, 2011.
(d) As of December 31, 2011, prepare a schedule reconciling the funded status with the reported pension liability.

2010 2011 $170,000 90,000 184,658 280,000 250,000 8% 150,000 S Service costs Unrecognized past service costs amortization Contributions (funding) to the plan Benefits paid Actual return on plan assets Expected rate of return on assets 50,000 220,000 252,000 6%