USLM Inc. has a defined benefit pension plan. At the end of the year 20X4, the pension fund assets were $7,670,000 and the defined benefit obligation was $7,250,000. Invoking the asset ceiling caps the net defined benefit asset at $315,000. The effect of the asset ceiling was $105,000 at the end of 20x4. For 20X5, the following information is provided. The market yield rate for high-quality corporate bonds of similar term and identical currency is 5.5% at the end of the year. On 1 April 20x5, the contribution of $560,000 was made to the plan assets. Pension payments to pensioners are made evenly over the year and totalled $230,000. Required: 1. Calculate and record the second element of pension accounting for the defined benefit plan. That is, calculate net interest cost Net Interest 2. Prepare the journal entry to record the second element of pension accounting for the defined benefit plan. That is, calculate net interest cost. (lf no entry is required for a transaction/event, select "No journal entry required" in the first account field.) View transaction list Journal entry worksheet Record the entry for interest income. Note: Enter debits before credits. Transaction General Journal Debit Credit