Question: Hicks Cable Company has a defined benefit pension plan. Three alternative possibilities for pension-related data at January 1, 2016, are shown below: ($ in 000's)

 Hicks Cable Company has a defined benefit pension plan. Three alternative

Hicks Cable Company has a defined benefit pension plan. Three alternative possibilities for pension-related data at January 1, 2016, are shown below: ($ in 000's) Case 1 Case 2 Case 3 S 331 S (371) 291 Net loss (gain) AOCI, Jan. 1 2016 loss (gain) on plan assets 2016 loss (gain) on PBO (22) (34) (19) 27 (300) Accumulated benefit obligation, Jan. 1 (3,060) (2,660) ,560) (1,810) 1,660 Projected benefit obligation, Jan. 1 Fair value of plan assets, Jan. 1 Average remaining service period (3,420) (2,780) 2,810 2,910 of active employees (years) 12 15 10 Required: 1. For each independent case, calculate any amortization of the net loss or gain that should be included as a component of pension expense for 2016. (Input all amounts as positive values.) ($ in 000's Case 2 Case 1 Case 3 331$ 371 $ Net gain or loss Less: Corridor amount Excess, if any Service period (years) Amortization of gain or loss 291 331$ 371S 291 2. For each independent case, determine the net loss-AOCl or net gain-AOCI as of January 1, 2017 Amounts to be deducted and losses amounts should be indicated by a minus sign.) $ in 000's Case 2 Case 1 Case 3 Net loss (gain) Loss (gain) on plan assets Amortization Loss (gain) on PBO January 1, 2017 net gain (loss)- AOCI 331 (371)$ 291 $ 331.0(371.0)291.0

Step by Step Solution

There are 3 Steps involved in it

1 Expert Approved Answer
Step: 1 Unlock blur-text-image
Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock
Step: 3 Unlock

Students Have Also Explored These Related Accounting Questions!