In: Accounting
Problem 17-12 Determine pension expense; journal entries; two years [LO17-3, 17-4, 17-5, 17-6, 17-7, 17-8]
The Kollar Company has a defined benefit pension plan. Pension
information concerning the fiscal years 2018 and 2019 are presented
below ($ in millions):
Information Provided by Pension Plan Actuary:
Information Provided by Pension Fund Trustee:
Required:
1. Calculate pension expense for 2018 and 2019.
2. Prepare the journal entries for 2018 and 2019 to record pension
expense.
3. Prepare the journal entries for 2018 and 2019 to record any
gains and losses and new prior service cost.
4. Prepare the journal entries for 2018 and 2019 to record the cash
contribution to plan assets and benefit payments to retirees.