Pharoah Limited sponsors a defined benefit pension plan, and follows ASPE. The corporation's actuary provides the...

  

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Pharoah Limited sponsors a defined benefit pension plan, and follows ASPE. The corporation's actuary provides the following information about the plan (in thousands of dollars): Vested benefit obligation Defined benefit obligation, accounting basis Plan assets (fair value) Interest/discount rate Net defined benefit liability/asset Past service cost, plan amendment, effective December 30, 2020 Service cost for the year 2020 Contributions (funding) 2020 Benefits paid in 2020 (Enter answers in thousands of dollars.) Calculate the actual return on the plan assets in 2020. Actual return on the plan assets in 2020 $ Calculate the amount of the net defined benefit liability/asset as at January 1, 2020. Net defined benefit January 1, 2020 January 1, 2020 $1,400 2,260 1,400 10% ? $ December 31, 2020 $1,480 2,976 2,205 10% ? 340 280 700 130 Prepare a continuity schedule of the defined benefit obligation for 2020. (Enter negative amounts using either a negative sign preceding the number eg. -45 or parentheses eg. (45).) DBO, January 1, 2020 Current Service Cost, 2020 Interest Cost Benefits Paid In 2020 Past Service Cost, Dec. 30/20 Plan Amendment DBO, December 31, 2020 Current service cost Net interest cost Asset remeasurement gain Past service cost Pension expense for 2020 $ $ $ Calculate the pension expense for 2020, separately identifying each amount making up the total expense. (Enter negative amounts using either a negative sign preceding the number, e.g. -45 or parentheses, e.g. (45).) 19 Prepare the pension-related entries made by the company during 2020. (Credit account titles are automatically indented when the amount is entered. Do not indent manually.) Date Account Titles and Explanation 2020 Pension Expense 2020 Net Defined Benefit Liability/Asset (To record pension expense.) Net Defined Benefit Liability/Asset Cash (To record contribution to the pension fund.) Plan deficit Net defined benefit liability Debit Compare the plan's surplus or deficit at December 31, 2020, with the amount reported on the December 31, 2020 balance sheet. Dec. 31/20 Credit Pharoah Limited sponsors a defined benefit pension plan, and follows ASPE. The corporation's actuary provides the following information about the plan (in thousands of dollars): Vested benefit obligation Defined benefit obligation, accounting basis Plan assets (fair value) Interest/discount rate Net defined benefit liability/asset Past service cost, plan amendment, effective December 30, 2020 Service cost for the year 2020 Contributions (funding) 2020 Benefits paid in 2020 (Enter answers in thousands of dollars.) Calculate the actual return on the plan assets in 2020. Actual return on the plan assets in 2020 $ Calculate the amount of the net defined benefit liability/asset as at January 1, 2020. Net defined benefit January 1, 2020 January 1, 2020 $1,400 2,260 1,400 10% ? $ December 31, 2020 $1,480 2,976 2,205 10% ? 340 280 700 130 Prepare a continuity schedule of the defined benefit obligation for 2020. (Enter negative amounts using either a negative sign preceding the number eg. -45 or parentheses eg. (45).) DBO, January 1, 2020 Current Service Cost, 2020 Interest Cost Benefits Paid In 2020 Past Service Cost, Dec. 30/20 Plan Amendment DBO, December 31, 2020 Current service cost Net interest cost Asset remeasurement gain Past service cost Pension expense for 2020 $ $ $ Calculate the pension expense for 2020, separately identifying each amount making up the total expense. (Enter negative amounts using either a negative sign preceding the number, e.g. -45 or parentheses, e.g. (45).) 19 Prepare the pension-related entries made by the company during 2020. (Credit account titles are automatically indented when the amount is entered. Do not indent manually.) Date Account Titles and Explanation 2020 Pension Expense 2020 Net Defined Benefit Liability/Asset (To record pension expense.) Net Defined Benefit Liability/Asset Cash (To record contribution to the pension fund.) Plan deficit Net defined benefit liability Debit Compare the plan's surplus or deficit at December 31, 2020, with the amount reported on the December 31, 2020 balance sheet. Dec. 31/20 Credit

Answer rating: 100% (QA)

1 Actual return on plan assets in 2020 Plan assets Dec 31 2020 2205 thousand Plan assets Jan 1 2020 1400 thousand Actual return Ending assets Beginnin... View the full answer