The following facts apply to the pension plan of Wildhorse Inc. for the year 2020. Wildhorse applies
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The following facts apply to the pension plan of Wildhorse Inc. for the year 2020. Wildhorse applies ASPE.
Plan assets, January 1, 2020 $494,000Defined benefit obligation, funding basis, January 1, 2020 393,000Defined benefit obligation, accounting basis, January 1, 2020 494,000Discount/interest rate8.50%Annual pension service cost 40,900Contributions 31,600Actual return on plan assets 50,690Benefits paid to retirees 34,000
Calculate pension expense for the year 2020, and provide the entries to recognize the expense and contributions for the year assuming that Wildhorse has chosen the funding measure of its defined benefit obligation as its accounting policy choice.
Calculate pension expense if IFRS had been applied to this plan.
Plan assets, January 1, 2020 $494,000Defined benefit obligation, funding basis, January 1, 2020 393,000Defined benefit obligation, accounting basis, January 1, 2020 494,000Discount/interest rate8.50%Annual pension service cost 40,900Contributions 31,600Actual return on plan assets 50,690Benefits paid to retirees 34,000
Calculate pension expense for the year 2020, and provide the entries to recognize the expense and contributions for the year assuming that Wildhorse has chosen the funding measure of its defined benefit obligation as its accounting policy choice.
Calculate pension expense if IFRS had been applied to this plan.
Related Book For
College Accounting Chapters 1-30
ISBN: 978-0077862398
14th edition
Authors: John Price, M. David Haddock, Michael Farina
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