Exercise 10.8 ★ ★ ACCOUNTING FOR DEFINED BENEFIT PENSION PLANS For each of the following scenarios, determine (i) the surplus or defi cit in the defi ned benefi t pension plan and (ii) the net defi ned benefi t liability or asset that should be recognised by the sponsoring employer in accordance with IAS 19: Present value of DBO $’000 Fair value of plan assets $’000 Asset ceiling $’000

(a) 1 300 1 000 $Nil

(b) 1 550 1 200 $Nil

(c) 2 000 2 200 100

(d) 2 400 2 500 250