? Journal entries for employers with defined benefit and defined contribution pensions The city of Czerkawski has

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Journal entries for employers with defined benefit and defined contribution pensions The city of Czerkawski has two pension plans-one is a defined benefit plan for its Water and Sewer Enterprise Fund employees and the other is a defined contribution plan for its general government employees. A single-employer defined benefit pension plan (with a trust that meets GASB requirements) is used to accumulate resources for and to provide benefits to retirees of the city's Water and Sewer Enterprise Fund. Assume that the actuary for the city of Czerkawski's Water and Sewer Enterprise Fund measures its net pension liability on December 31, 2019, which is its fiscal year-end. The actuary provides the following additional information in its reporting package to the city of Czerkawski's accounting department for its use in preparing the Water and Sewer Enterprise Fund's December 31, 2019 financial statements. Actuarial Provided Account Information Net pension liability Deferred inflow of resources-investment gain Deferred outflow of resources-economic factor Fiscal Year Ending Fiscal Year Ending December 31, 2018 December 31, 2019 $8,380,000 $8,800,000 420,000 424,000 350,000 371,000 The city of Czerkawski contributed $1,080,000 cash to the defined benefit pension plan during the fiscal year ending December 31, 2019. The city's general government employees participate in a defined contribution plan. During 2019, the city made $4,200,000 in cash contributions to its employees' individual defined contribution pension retirement accounts. Based on benefit terms, the city was required to contribute an additional $280,000 during 2019 that it did not contribute. 4 1. Prepare the journal entry to record the defined benefit pension related activity, including the pension expense, for the city of Czerkawski's Water and Sewer Enterprise Fund for its 2019 fiscal year. 1. Prepare the journal entry to record the defined benefit pension related activity, including the pension expense, for the city of Czerkawski's Water and Sewer Enterprise Fund for its 2019 fiscal year. Description Debit Credit Deferred inflow of resources-investment gain + Deferred outflow or resources-economic factors Cash Description 2. Prepare the journal entries to (a) record the cash contributions and (b) to record any required year end accrual for the city's defined contribution plan in the city's General Fund. To record cash contribution to retirement accounts. ÷ ÷ To record pension liability. LockDown 0 ● 0 0 0 Debit 0 0 0 0 0 0 0 0 0 0 0 Credit 0 0 0 0 I ← Journal entries for employers with defined benefit and defined contribution pensions The city of Czerkawski has two pension plans-one is a defined benefit plan for its Water and Sewer Enterprise Fund employees and the other is a defined contribution plan for its general government employees. A single-employer defined benefit pension plan (with a trust that meets GASB requirements) is used to accumulate resources for and to provide benefits to retirees of the city's Water and Sewer Enterprise Fund. Assume that the actuary for the city of Czerkawski's Water and Sewer Enterprise Fund measures its net pension liability on December 31, 2019, which is its fiscal year-end. The actuary provides the following additional information in its reporting package to the city of Czerkawski's accounting department for its use in preparing the Water and Sewer Enterprise Fund's December 31, 2019 financial statements. Actuarial Provided Account Information Net pension liability Deferred inflow of resources-investment gain Deferred outflow of resources-economic factor Fiscal Year Ending Fiscal Year Ending December 31, 2018 December 31, 2019 $8,380,000 $8,800,000 420,000 424,000 350,000 371,000 The city of Czerkawski contributed $1,080,000 cash to the defined benefit pension plan during the fiscal year ending December 31, 2019. The city's general government employees participate in a defined contribution plan. During 2019, the city made $4,200,000 in cash contributions to its employees' individual defined contribution pension retirement accounts. Based on benefit terms, the city was required to contribute an additional $280,000 during 2019 that it did not contribute. 4 1. Prepare the journal entry to record the defined benefit pension related activity, including the pension expense, for the city of Czerkawski's Water and Sewer Enterprise Fund for its 2019 fiscal year. 1. Prepare the journal entry to record the defined benefit pension related activity, including the pension expense, for the city of Czerkawski's Water and Sewer Enterprise Fund for its 2019 fiscal year. Description Debit Credit Deferred inflow of resources-investment gain + Deferred outflow or resources-economic factors Cash Description 2. Prepare the journal entries to (a) record the cash contributions and (b) to record any required year end accrual for the city's defined contribution plan in the city's General Fund. To record cash contribution to retirement accounts. ÷ ÷ To record pension liability. LockDown 0 ● 0 0 0 Debit 0 0 0 0 0 0 0 0 0 0 0 Credit 0 0 0 0 I ←

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