The following facts apply to the pension plan of Boudreau Inc. for the year 2017.
Plan assets, January 1, 2017 $490,000
Projected benefit obligation, January 1, 2017 490,000
Settlement rate 8%
Service cost 40,000
Contributions (funding) 25,000
Actual and expected return on plan assets 49,700
Benefi ts paid to retirees 33,400
Instructions:
Using the preceding data, compute pension expense for the year 2017. As part of your solution, prepare a pension that shows the journal entry for pension expense for 2017 and the year-end balances in the related pension accounts worksheet.
Answers: 2
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The following facts apply to the pension plan of Boudreau Inc. for the year 2017.
Plan assets, Janu...
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