Question: Sage Inc. has beginning-of-the-year present values for its projected benefit obligation and market-related values for its pension plan assets. Projected Benefit Obligation Plan Assets Value
Sage Inc. has beginning-of-the-year present values for its projected benefit obligation and market-related values for its pension plan assets.
| Projected Benefit Obligation | Plan Assets Value | |||
|---|---|---|---|---|
| 2019 | $940,000 | $846,000 | ||
| 2020 | 1,175,000 | 1,034,000 | ||
| 2021 | 1,504,000 | 1,363,000 | ||
| 2022 | 1,974,000 | 1,880,000 |
The average remaining service life per employee in 2019 and 2020 is 8 years and in 2021 and 2022 is 11 years. The net gain or loss that occurred during each year is as follows: 2019, $155,100 gain; 2020, $37,600 gain; 2021, $28,200 loss; and 2022, $14,100 loss. (In working the solution, the gains and losses must be aggregated to arrive at year-end balances.) Using the corridor approach, compute the amount of net gain or loss amortized and charged to pension expense in each of the 4 years, setting up an appropriate schedule.
| Year | Minimum Amortization of Loss | |
|---|---|---|
| 2019 | $enter a dollar amount | |
| 2020 | $enter a dollar amount | |
| 2021 | $enter a dollar amount | |
| 2022 | $enter a dollar amount |
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