User Account

All Pages

Prepare the journal entry to record the pension activity

Assignment Help Financial Accounting
Reference no: EM132923861

Question - Company L displayed the following information in the December 31, 2019 financial statements and disclosures:

Projected benefit obligation $340,000

Fair value of plan assets 370,000

OCI: Unamortized prior service cost 90,000

OCI: Unrecognized net gain 49,000

Additional information for 2020:

1. Service cost for 2020 is $50,000.

2. The company's actuary indicated that the discount rate on the PBO is 8% and the expected rate of return on plan assets is 7% for 2020.

3. The company contributed $80,000 to the plan at the end of 2020, and benefits of $40,000 were paid from the plan to the retirees during 2020.

4. Any amortizations for prior service costs, and for gains and losses subject to amortization, should be amortized over 10 remaining service years.

5. The actuary revised her projections at the end of 2020 to the following amounts:

Projected benefit obligation = $363,800

Fair value of plan assets = $451,000

Part A - Complete the 2020 Pension Calculations on the Worksheet Below?

Part B - Prepare the journal entry to record the pension activity.

Part C - Complete the T-Accounts to show the company balances at 12/31/20?

Reference no: EM132923861

Questions Cloud

Advantages and disadvantages of international acquisitions : International firms can make use of a variety of strategies to enter new geographical markets. Therefore:
Calculate the revised annual amortization : Frye Company bought machinery on January 1, 1999 at a cost of $200,000. Calculate the revised annual amortization
Why is united states government so concerned about tik tok : Why is the United States Government so concerned about Tik Tok and given the national security concerns, should people in the United States be allowed to use th
Difference between group think and group shift : Whats the difference between group think and group shift?
Prepare the journal entry to record the pension activity : The company contributed $80,000 to the plan at the end of 2020, Prepare the journal entry to record the pension activity
Strategy of grammage reduction : Why has this strategy of grammage reduction by marketers gone unnoticed by the consumers? Base the answer on your understanding of the consumer behaviour variab
Identify at least two financial barriers : Please identify at least two (2) financial barriers and two (2) strengths for each of wind power and a high-efficiency house. Also, please highlight at least tw
What industry sectors tend to be better performers : What industry sectors tend to be better performers? Why? How may Covid-19 lead to growth in certain sectors and decline of other sectors that will have to 're-i
Formulate an lp model for problem : Formulate an LP model for this problem; but do not attempt to solve the problem. (Hint: The decision variables for this problem represent the percentage of beef

Reviews

Write a Review

Financial Accounting Questions & Answers

  Financial statement analysis and preparation

Financial Statement Analysis and Preparation

  Shareholder of a company

Describe the ways that a person can become a shareholder of a company. Why Wal-Mart would split its stock?

  Financial and accounting principles

An understanding of financial and accounting principles can be a valuable tool for managers. While not all managers will find themselves calculating financial ratios or preparing annual financial data.

  Prepare a statement of cash flow using the direct method

Prepare a Statement of Cash Flow using the Direct Method and Prepare the Operations section of the Statement of Cash Flow using the Indirect Method.

  Financial accounting assignment

This assignment has one case study and two question apart from case study. Questions related to document Liquidation question and Company financial statements question - Torquay Limited

  Prepare general journal entries for goela

Prepare general journal entries for Goela Ltd

  Principles of financial accounting

Prepare the journal entry to record the acquisition of the assets.

  Prepare general journal entries to record the transactions

Prepare general journal entries to record the transactions, assuming use of the periodic inventory system

  Global reporting initiative

Compare the view espoused by the economist Milton Friedman about the social responsibilities of business with the views express by Stigler.

  Explain the iasb conceptual frameworks

Explain the IASB Conceptual Framework's perspective of users and their decisions.

  Determine the company''s financial statements

T he focus of the report is to determine the extent to which you are comfortable relying on the financial statements as presented by management .

  Computation of free cash flow

Computation of Free Cash Flow

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

Submit Assignment

Academics

Major Subjects

Majors

Get In Touch

whatsapp: +91-977-207-8620

Phone: +91-977-207-8620

Email: [email protected]

TERMS & POLICIES

HELP & SUPPORT

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd