Problem 3 (30 points) Jayson 'hod the tolany has had a defined bene psion plan for several years. At the end of 2016, Jayson had the following balances related to the plan Projected benefit obligation Unrecognized prior service cost (remainder to be amortized over 10 years) Unrecognized net loss Plan assets (at fair value) Pension liability $980,000 72,000 128,000 725,000 255,000 On 1/1/17, Jayson amended the plan to provide an increased amount of pension benefits; the prior service cost resulting from this amendment was $60,000. At 1/1/17, the average remaining service life of employees expected to receive benefits was 10 years The following information relates to the year 2017 123,000 Service Cost Settlement rate Expected rate of return on plan assets Plan contribution (at year-end) Benefit payments to retirees (at year-end) 9% 8% 90,000 80,000 In 2017, Jayson's actual return on plan assets was $54,000. Jayson follows a policy of recognizing gains/losses on a delayed basis using the "corridor approach". In 2017, there were no changes in estimates and assumptions relating to computation of the projected benefit obligation. Required: a Prepare Jayson's pension worksheet, and prepare the journal entry that Jayson would make to record the expense calculated Prepare the pension note to the 12/31/17 financial statements