The following information pertains to Lee Corp.’s defined benefit pension plan for 2006:
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|
Service cost |
$160,000 |
|
Actual and expected gain on plan assets |
35,000 |
|
Unexpected loss on plan assets related to a 2006 disposal of a subsidiary |
40,000 |
|
Amortization of unrecognized prior service cost |
5,000 |
|
Annual interest on pension obligation |
50,000 |
What amount should Lee report as pension cost in its 2006 income statement?
- $250,000
- $220,000
- $210,000
- $180,000