Compute the amount of unrecognized net gain or loss

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Question - Jackson Company has beginning-of-the-year values for its projected benefit obligation and fair value of pension plan assets as follows:

 

Projected benefit obligation

Fair value of plan assets

2017

$2,000,000

$1,800,000

2018

$2,300,000

$2,400,000

2019

$2,800,000

$2,600,000

2020

$3,000,000

$3,100,000

The average remaining service life per employee is 10 years for all years involved. Jackson has no unrecognized cumulative net gain or loss in Accumulated Other Comprehensive Income at the beginning of 2017. The unrecognized net gain or loss that occurred during each year is as follows: 2017, $300,000 gain; 2018, $50,000 loss; 2019, $150,000 gain; and 2020, $90,000 loss.

REQUIRED - Using the corridor approach, compute the amount of unrecognized net gain or loss amortized to/from pension expense in each of the four years, setting up an appropriate schedule.

Reference no: EM132509725

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