Baron Company adopted a defined benefit pension plan on January 1, 2018. The following information pertains to the pension plan for 2019 and 2020:

There are no other components of Baron’s pension expense.

Required:
1. Compute the amount of Baron’s pension expense for 2019 and 2020.
2. Prepare the journal entries to record the pension expense for 2019 and 2020.

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2019 2020 Service cost Projected benefit obligation (1/1) Plan assets (1/1) Company contribution (funded 12/31) Discount rate $160,000 120,000 120,000 165,000 $172,000 289,600 294,600 175,000 8% 8% Expected long-term (and actual) rate of return on plan assets 8% 8%