Pen Fen Corp has a defined benefit pension expense plan for its employees. In the year...

Pen Fen Corp has a defined benefit pension expense plan for its employees. In the year ended Dec 31, 2019, Pen Fen gathered the following information ( the company uses ASPE)

Contributions ......................................................... $500,000
Expected & Actual Return on Plan Assets ....... 10%
Interest rate on Obligations ................................ 12%
Service costs relating to past services ............. $100,000
Actuarial Loss ....................................................... $40,000
Current Service costs .......................................... $630,000
DBO – Jan 1 ,2019................................................ $720,000
FV Plan Assets – Jan 1 , 2019............................ $590,000
Benefits Paid.......................................................... $450,000

Required

Calculate the Pension expense for 2019
Prepare the relevant Journal Entries
Explain how your answer for part 1 will be different if Pen Fen uses IFRS no J/E required

Solutions

Expert Solution

ekkarill92 answered 1 year ago

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