Abbott and Abbott has a noncontributory, defined benefit pension plan. At December 31, 2024, Abbott and Abbott received the following information:

The expected long-term rate of return on plan assets was 10%. There was no prior service cost and a negligible net loss—AOCI on January 1, 2024.

Required:
1. Determine Abbott and Abbott’s pension expense for 2024.
2. Prepare the journal entries to record Abbott and Abbott’s (a) pension expense, (b) funding, and (c) payment for 2024.

Transcribed Image Text:

Projected Benefit Obligation Balance, January 1 Service cost Interest cost Benefits paid Balance, December 31 ($ in millions) $120 20 12 (9) $143 (continued)