In: Accounting
On December 31, 2019, Robey Company accumulated the following information for 2019 in regard to its defined benefit pension plan:
Service cost | $102,220 |
Interest cost on projected benefit obligation | 12,240 |
Expected return on plan assets | 11,120 |
Amortization of prior service cost | 1,920 |
On its December 31, 2018, balance sheet, Robey had reported an accrued/prepaid pension cost liability of $13,940.
Required:
1. | Compute the amount of Robey’s pension expense for 2019. |
2. | Prepare all the journal entries related to Robey’s pension plan for 2019 if it funds the pension plan in the amount of (a) $105,260, (b) $104,220, and (c) $109,600. |
3. | Next Level Assuming Robey’s beginning 2019 Accumulated Other Comprehensive Income: Prior Service Cost balance was $63,770 what would be its ending balance? |
4. | Next Level How much would Robey need to fund its pension plan for 2019 in order to report an accrued/ prepaid pension cost asset of $5,100 at the end of 2019? |