Question

In: Accounting

SuperSports provides you the following pension data for the year 2016. Item Service Cost, 2016 $248,000...

SuperSports provides you the following pension data for the year 2016.

Item
Service Cost, 2016 $248,000
Projected Benefit Obligation, January 2016 $340,000
Plan Assets (Fair Value), January 1, 2016 $360,000
Prior Service Cost-AOCI (2016 amortization, $25,000) $250,000
Net Loss-AOCI (2016 amortization, $10,000) $110,000
Actual Return on Plan Assets $45,000
Interest Rate and Expected return on plan assets 10%
Contributions made to plan assets during 2016 $175,000

SuperSports requests you to:

  1. Compute pension expense for the year 2016
  2. Record 2016 journal entry for pension expense

Solutions

Expert Solution

Pension expense for the year 2016 : 271000 dollars

Which is explained below in detail.

2016 journal entry for pension expense:

ekkarill92 answered 2 years ago
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