A company's defined benefit pension plan incurs current service cost of $$4,000,000.$ his pension plan's assets generated $$2,500,000$ of income, which exceeded expectations by $$500,000.$ Pension obligations incurred interest cost of $$1,500,000,$ which were $$700,000$ below expectations. During the year, the company increased benefits in the pension plan and incurred $$800,000$ for past service cost. What is the pension expense for the year?$2.$ What are actuarial losses or gains in a defined benefit plan?$$ A$)$ Difference arising between the actual and the expected value of plancontributions.

Answer rating: 100% (QA)

1 To calculate the pension expense for the year we need to consider the components that make up the ... View the full answer