E20-13 (L01,2,4) (Computation of Actual Return, Gains and Losses,...

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E20-13 (L01,2,4) (Computation of Actual Return, Gains and Losses, Corridor Test, and Pension Expene Erickson Com- pany sponsors a defined benefit pension plan. The corporation's actuary provides the following information about the plan. January 1, 2017 $1,500 1,900 2,500 2017 $1,900 2,730 3,300 Vested benefit obligation Accumulated benefit obligation Projected benefit obligation Plan assets (fair value) Settlement rate and expected rate of return Pension asset/liability Service cost for the year 2017 Contributions (funding in 2017) Benefits paid in 2017 800 400 700 200 Instructions (a) (b) Compute the actual return on the plan assets in 2017 Compute the amount of the other comprehensive income (G/L) as of December 31, 2017. (Assume the January 1, 2017, balance was zero.) Compute the amount of net gain or loss amortization for 2017 (corridor approach). Compute pension expense for 2017 (c) (d) E20-14 (L01,2,4) (Worksheet for E20-13) Using the information in E20-13 about Erickson Company's defined benefit pension plan, prepare a 2017 pension worksheet with supplementary schedules of computations. Prepare the journal entries at December31, 2017, to record pension expense and related pension transactions. Also, indicate the pension amounts reported in the balance sheet E20-13 (L01,2,4) (Computation of Actual Return, Gains and Losses, Corridor Test, and Pension Expene Erickson Com- pany sponsors a defined benefit pension plan. The corporation's actuary provides the following information about the plan. January 1, 2017 $1,500 1,900 2,500 2017 $1,900 2,730 3,300 Vested benefit obligation Accumulated benefit obligation Projected benefit obligation Plan assets (fair value) Settlement rate and expected rate of return Pension asset/liability Service cost for the year 2017 Contributions (funding in 2017) Benefits paid in 2017 800 400 700 200 Instructions (a) (b) Compute the actual return on the plan assets in 2017 Compute the amount of the other comprehensive income (G/L) as of December 31, 2017. (Assume the January 1, 2017, balance was zero.) Compute the amount of net gain or loss amortization for 2017 (corridor approach). Compute pension expense for 2017 (c) (d) E20-14 (L01,2,4) (Worksheet for E20-13) Using the information in E20-13 about Erickson Company's defined benefit pension plan, prepare a 2017 pension worksheet with supplementary schedules of computations. Prepare the journal entries at December31, 2017, to record pension expense and related pension transactions. Also, indicate the pension amounts reported in the balance sheet

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