The city of Stewart has a single-employer defined benefit pension plan to provide retiree pension benefits...
Fantastic news! We've Found the answer you've been seeking!
Question:
Transcribed Image Text:
The city of Stewart has a single-employer defined benefit pension plan to provide retiree pension benefits to its Electric Utility Enterprise Fund empioyees. The plan is administered in a trust that meets the GASB requirements. The city of Stewart contributed $1,600,000 cash to the pension plan during the fiscal year ending December 31, 2022. Assume that the actuary for the city of Stewart's Electric Utility Enterprise Fund measures its net pension liability on December 31, 2022, which is its fiscal year-end. The actuary provides the following additional information in its reporting package to the city of Stewart's accounting department for its use in preparing the Electric Utility Enterprise Fund's December 31, 2022 financial statements. Actuarial Provided Account Information Fiscal Year Ending Fiscal Year Ending December 31, 2021 December 31, 2022 Net pension liability $6,100,000 $6,200,000 Deferred inflow of resources-investment gain 180,000 90,000 Deferred inflow of resources-demographic factors 210,000 180,000 Deferred outflow of resources-economic factors 400,000 350,000 Prepare the journal entry to record the pension related activity, including the pension expense, for the city of Stewart's Electric Utility Enterprise Fund for its 2022 fiscal year. Enter the accounts in order of magnitude (Ilargest to smallest balances), debits first. Account Debit Credit In record pension related astivity for 2022 >> The city of Stewart has a single-employer defined benefit pension plan to provide retiree pension benefits to its Electric Utility Enterprise Fund empioyees. The plan is administered in a trust that meets the GASB requirements. The city of Stewart contributed $1,600,000 cash to the pension plan during the fiscal year ending December 31, 2022. Assume that the actuary for the city of Stewart's Electric Utility Enterprise Fund measures its net pension liability on December 31, 2022, which is its fiscal year-end. The actuary provides the following additional information in its reporting package to the city of Stewart's accounting department for its use in preparing the Electric Utility Enterprise Fund's December 31, 2022 financial statements. Actuarial Provided Account Information Fiscal Year Ending Fiscal Year Ending December 31, 2021 December 31, 2022 Net pension liability $6,100,000 $6,200,000 Deferred inflow of resources-investment gain 180,000 90,000 Deferred inflow of resources-demographic factors 210,000 180,000 Deferred outflow of resources-economic factors 400,000 350,000 Prepare the journal entry to record the pension related activity, including the pension expense, for the city of Stewart's Electric Utility Enterprise Fund for its 2022 fiscal year. Enter the accounts in order of magnitude (Ilargest to smallest balances), debits first. Account Debit Credit In record pension related astivity for 2022 >>
Expert Answer:
Answer rating: 100% (QA)
1 To record City of Steward contribution to pension Defined Pension Liability Debit 1600000 Cash Cr... View the full answer
Related Book For
Taxes and Business Strategy A Planning Approach
ISBN: 9780132752671
5th edition
Authors: Myron Scholes, Mark Wolfson, Merle Erickson, Michelle Hanlon
Posted Date:
Students also viewed these accounting questions
-
Essex Company has a single employer defined benefit pension plan, and a compensation plan for future vacations for its employees. Required 1. Define the interest cost component of net pension cost...
-
A firm currently has an overfunded defined benefit pension plan and is short of cash. The chief financial officer (CFO) is considering terminating the defined benefit plan to recapture the excess...
-
The following information relates to the defined benefit pension plan of Mascare Company. January 1, 2013: PBO . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ....
-
On your first day as a intern at Tri-Star Management Incorporated the CEO asks you to analyze the following information pertaining to two common stock investments, Tech.com Incorporated and Sam's...
-
What is the DuPont Model? How is it useful in financial statements analysis?
-
In Exercises 8388, let log b 2 = A and log b 3 = C. Write each expression in terms of A and C. log b 8
-
A sail plane with a lift-to-drag ratio of 25 flies with a speed of \(50 \mathrm{mph}\). It maintains or increases its altitude by flying in thermals, columns of vertically rising air produced by...
-
Most firms in the apparel and footwear industries choose to outsource production to countries where labor is abundant (primarily, Southeast Asia and the Caribbean)but those firms do not integrate...
-
Explain why a notable innovation through virtual reality (VR) and augmented reality (AR) technologies is so innovative in sport? Why should sports leaders cultivate a culture of openness and...
-
There is an array A made of N integers. Your task is to choose as many integers from A as possible so that, when they are put in ascending order, all of the differences between all pairs of...
-
Indicate where each of the cash receipts or payments identified above would be classified on the statement of cash flows or accompanying notes. Land purchase Equipment purchase Proceeds from...
-
To understand water conflict, briefly find and discuss a case of transboundary conflict over shared rivers, lakes, or aquifers.
-
Is the carry trade consistent with covered interest rate parity?
-
Which is the fastest and most efficient way to develop lawthrough the court system or the legislative process? What are the advantages and disadvantages of each?
-
Identify three local (city or county) agencies in the United States or in other countries with the charter of protection and enforcement issues related to surface water resources.
-
Explain the main difference between urban water cycle and hydrologic cycle in the context of systems approach.
-
Annie's Pie Shop has 12 pies for sale, including 4 chocolate cream pies. What is the probability that a randomly selected pie will be a chocolate cream pie? Write your answer as a fraction or whole 2...
-
Use the graphs of f and g to graph h(x) = (f + g) (x). To print an enlarged copy of the graph, go to MathGraphs.com. 1. 2. y 24 8. 2. -2 -2 4 6
-
What are some of a firms tax attributes? Why is an acquirer concerned with the effect of an acquisition on a target firms tax attributes?
-
Why would a taxpayer be willing to pay a lawyer to provide a written opinion to a third party of the tax treatment to be accorded a particular set of transactions?
-
Suppose Congress was to increase the top personal tax rate, tp, to 45% from 35%. How would this affect the required pretax corporate return, R*c, calculated in the final line of Table 4.4? That is,...
-
If the angle between vectors \(\vec{A}\) and \(\vec{B}\) is \(110^{\circ}\) and if \(A=1.7 \mathrm{~N}\) and \(B=2.0 \mathrm{~m}\), what is the value of \(\vec{A} \cdot \vec{B}\) ?
-
You throw a textbook to a friend who is at their dormitory window \(2.2 \mathrm{~m}\) above you. You are standing \(4.0 \mathrm{~m}\) away from the building and your throw is perfectly made such that...
-
A traveller walks \(30 \mathrm{~m}\) along a train platform, dragging their suitcase behind them using a strap attached to the top. The traveller's hand is \(0.25 \mathrm{~m}\) above the top of the...
Study smarter with the SolutionInn App