APH Holdings Ltd contributes to a defined contribution superannuation plan for its employees. At the end of the financial year ending 30 June 2021, APH has outstanding contributions totalling $160 000 to be paid to the defined contribution plan. The plans trustees have informed the management of APH that, because of falling asset values and decreasing investment returns, superannuation plan members likely to retire within the next five years will have significantly reduced superannuation benefits. The total estimated reduction in benefits is $15 million.

Required:

Prepare any general journal entries in the books of APH Holdings Ltd for the period ended 30 June 2021 to record these events in accordance with the requirements of AASB 119. As a part of your answer, explain why AASB 119 requires you to have applied the journal entry/entries you provided