Potato Ltd. is a public company and has a defined benefit pension plan. The following information...

 

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Potato Ltd. is a public company and has a defined benefit pension plan. The following information relates to the plan for the year ending December 31, 2018. 28,000 13,400 14,000 156,000 6,400 7,400 5,000 212,000 7% Pension benefits paid to retirees during 2018 Current service cost for 2018 Funding contribution on 1 April 2018 Pension plan assets fair value, 31 December 2017 Actual return on plan assets for 2018 Past service cost granted in 2018 Actuarial gain incurred in 2018 Defined benefit obligation, 31 December 2017 Long-term interest rate on corporate bonds REQUIRED: Indicate the three elements of pension accounting, and prepare Potato Ltd.'s journal entries for the year ending December 31, 2018 as required under each specific element. Prepare also the journal entry for the contribution to the pension fund during 2018. Potato Ltd. is a public company and has a defined benefit pension plan. The following information relates to the plan for the year ending December 31, 2018. 28,000 13,400 14,000 156,000 6,400 7,400 5,000 212,000 7% Pension benefits paid to retirees during 2018 Current service cost for 2018 Funding contribution on 1 April 2018 Pension plan assets fair value, 31 December 2017 Actual return on plan assets for 2018 Past service cost granted in 2018 Actuarial gain incurred in 2018 Defined benefit obligation, 31 December 2017 Long-term interest rate on corporate bonds REQUIRED: Indicate the three elements of pension accounting, and prepare Potato Ltd.'s journal entries for the year ending December 31, 2018 as required under each specific element. Prepare also the journal entry for the contribution to the pension fund during 2018.

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Pension worksheet under IFRS method IFRS Year 2018 1 Pen... View the full answer