Eq Ltd contributes to a defined benefit superannuation plan for its employees. The following information is available for the plan at 30 June 2021.

Fair value of plan assets (1 July 2020) $94 356 000

Fair value of plan assets (30 June 2021) $95 832 000

Present value of defined benefit obligation (1 July 2020) $98 586 000

Present value of defined benefit obligation (30 June 2021) $103 392 000

Benefits paid $15 552 000

Contributions received $8 640 000

Current service cost $12 096 000

Rate of return on plan assets for the period 6.0%

Discount rate (1 July 2020) 5.0%

Discount rate (30 June 2021) 4.0%

In July 2020 the plan was amended to increase superannuation benefits for each year of service starting on 1 July 2016. The present value of the additional superannuation benefits for service from 1 July 2016 to 1 July 2020 is $6 912 000.

Required:

As at 30 June 2021, Eq Ltd should recognise the net defined benefit as (1) with a balance of (2).

	A.	(1) an asset; (2) $1,476,000
	B.	(1) a liability; (2) $7,560,000
	C.	(1) a liability; (2) $3,330,000
	D.	(1) a liability; (2) $4,806,000