The following defined pension data of Doreen Corp. apply to the year 2012.
|
Defined benefit obligation, 1/1/12 (before amendment) |
$560,000 |
|
Plan assets, 1/1/12 |
546,200 |
|
Pension asset/liability |
13,800 Cr. |
|
On January 1, 2012, Doreen Corp., through plan amendment, grants past service benefits having a present value of |
100,000 |
|
Discount rate |
9% |
|
Service cost |
58,000 |
|
Contributions (funding) |
55,000 |
|
Actual (expected) return on plan assets |
52,280 |
|
Benefits paid to retirees |
40,000 |
|
Past service cost amortization for 2012 |
17,000 |
Instructions
For 2012, prepare a pension worksheet for Doreen Corp. that shows the journal entry for pension expense and the year end balances in the related pension accounts.