Exercise $17-3$

Indicate by letter whether each of the events listed below increases $($I$),$ decreases $($D$),$ or has no effect

$($N$)$ on an employer$$s periodic pension expense in the year the event occurs.

$\_\_\_\_\_\_1.$ Interest cost.

$\_\_\_\_\_\_2.$ Amortization of prior service cost$-$AOCI.

$\_\_\_\_\_\_3.$ Excess of the expected return on plan assets over the actual return.

$\_\_\_\_\_\_4.$ Expected return on plan assets.

$\_\_\_\_\_\_5.$ A plan amendment that increases benefits is made retroactive to prior years $($PSC$).$

$\_\_\_\_\_\_6.$ An actuary$$s estimate of the PBO is increased.

$\_\_\_\_\_\_7.$ Cash contributions to the pension fund by the employer.

$\_\_\_\_\_\_8.$ Benefits are paid to retired employees.

$\_\_\_\_\_\_9.$ Service cost $($Benefits were earned by employees in terms of service time during the year$).$

$\_\_\_\_\_10.$ Excess of the actual return on plan assets over the expected return.

$\_\_\_\_\_11.$ Amortization of net loss$-$AOCI.

$\_\_\_\_\_12.$ Amortization of net gain$-$AOCI.