The Corridor Amount
The company had the following pension related balances as of January 1:
|
Projected benefit obligation (PBO) |
$(20,000) |
|
Fair value of pension fund |
23,000 |
|
Unrecognized net pension loss |
3,100 |
|
Unrecognized prior service cost |
1,000 |
The average remaining service life of employees working on January 1 is six years. Compute the amount of the unrecognized net pension loss that should be amortized during the year.