Hadley Corporation reported the following information regarding its defined benefit pension plan on January 1, 20Y2:

Projected benefit obligation $1,500,000

Fair market value of plan assets $1,700,000

Unrecognized prior service cost $800,000

Cumulative unrecognized net gain $250,000

Average remaining service life of employees 8 years

Settlement rate 6%

Expected return on plan assets 10%

On December 31, 20Y2, Hadley’s actuary said that year-end PBO should be $1,790,000, which included an $85,000 actuarial loss incurred during the year. The pension fund paid out $160,000 in retirement benefits at the end of 20Y2, the actual return on the pension fund assets was $150,000, and Hadley made no contributions to the pension fund during the year. Assume that the 8-year average remaining service life of Hadley’s employees applies to both its unrecognized prior service cost and its corridor amortization (although this typically is not the case).

1. What is Hadley’s 20Y2 Pension Expense? ______________________

2. What items (and in what amounts) will be shown on Hadley’s 12/31/Y2 balance sheet, related to its defined benefit pension plan? You may not need all of the lines provided. Item Amount