Using the data provided in BE19-21, determine the ending balance of the plan assets and indicate the funded status of the plan at the end of the year under U.S. GAAP.
In BE19-21
Armando Hernandez Fashions, Inc. sponsors a defined-benefit pension plan for its employees. The company’s pension trust provided the following information: Fair value of beginning plan assets, $ 569,000; projected benefit obligation at the beginning of the year, $ 678,000; service cost, $ 54,000; interest on beginning PBO, $ 56,900; actual loss on plan assets, $ 35,800 composed of expected gains of $ 50,000 and unexpected losses of $ 85,800; actuarial gains due to changes in assumptions about PBO, $ 98,543; benefit payments made to retirees, $ 29,780; and contributions made by the sponsor corporation, $ 86,500. There is no amortization necessary under the corridor approach. Compute the ending balance of the projected benefit obligation under U. S. GAAP.