Lacy Construction has a noncontributory, defined benefit pension plan. At December 31, 2016, Lacy received the following information:

Projected Benefit Obligation	($ in millions)
Balance, January 1	$	360
Service cost		60
Prior service cost		12
Interest cost(7.5%)		27
Benefits paid		(37	)
Balance, December 31	$	422

Plan Assets	($ in millions)
Balance, January 1	$	240
Actual return on plan assets		27
Contributions 2016		60
Benefits paid		(37	)
Balance, December 31	$	290

The expected long-term rate of return on plan assets was 10%. There were no AOCI balances related to pensions on January 1, 2016. At the end of 2016, Lacy amended the pension formula creating a prior service cost of $12 million.

Required:

1.	Determine Lacy's pension expense for 2016. Pension Expense :

2.	Prepare the journal entry(s) to record Lacys pension expense, gains or losses, prior service cost, funding, and payment of retiree benefits for 2016. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field. Enter your answers in millions. (i.e., 10,000,000 should be entered as 10).)