Question: ABC Company has a defined benefit pension plan. The following pension-related data were available for the year 2021: PBO: Balance, Jan. 1 Service cost

ABC Company has a defined benefit pension plan. The following pension-related data were available for the

ABC Company has a defined benefit pension plan. The following pension-related data were available for the year 2021: PBO: Balance, Jan. 1 Service cost Interest cost (5% discount rate) Gain from changes in actuarial assumptions in 2021 Benefits paid to retirees Balance, Dec. 31 $235,000 36,000 11,750 (4,500) (15,000) $ 263,250 Plan assets: Balance, Jan.1 Actual return (expected return was $22,000) Contributions Benefits paid Balance, Dec. 31 January 1, 2021balances of other relevant accounts: Prior service cost-AOCI (need to amortize $1,000/yr.) Net gain-AOCI (corridor amortization, if any, over 15 years) $ 245,000 20,000 30,000 (15,000 $ 280,000 8,000 24,000 Required: Calculate the 2021 pension expense. Show steps and show calculation for corridor amortization.

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