Journal Entry Drop Down Options Are As Follows:

No Journal Entry Required, Accumulated Other Comprehensive Income, Deferred Past Service Cost (AOCI), Defined Benefit Obligation, Net Income, Past Service Cost Expense, Retained Earnings.

On January 1,2020 , Xiamen Company made amendments to its defined benefit pension plan that resulted in 75,000 yuan of past service cost. The plan has 5,080 active employees with an average expected remaining working life of 12 years. There currently are no retirees under the plan. Assume that Xiamen Company is a foreign company using IFRS and is owned by a company using U.S. GAAP. Thus, IFRS balances must be converted to U.S. GAAP to prepare consolidated financial statements. Ignore income taxes. Required: a. Prepare journal entries for the past service cost for the years ending December 31, 2020, and December 31, 2021, under (1) IFRS and (2) U.S. GAAP. b. Prepare the entry(ies) that the U.S. parent would make on the December 31, 2020, and December 31,2021 , conversion worksheets to convert IFRS balances to U.S. GAAP