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  3. exercise 19-2 carla vista ltd. provides a defined

Exercise 19-2 Carla Vista Ltd. provides a defined contribution pension plan for its employees. Currently,...

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Accounting

Exercise 19-2

Carla Vista Ltd. provides a defined contribution pension plan for its employees. Currently, the company has 51 full-time and 68 part-time employees. The pension plan requires the company to make an annual contribution of $2,400 per fulltime employee, and $1,300 per parttime employee, regardless of their annual salary. In addition, employees can match the employers contribution in any given year. At the beginning of the year, 12 fulltime and 18 parttime employees elected to contribute to their pension plan by matching the companys contribution. An equal amount of funds was withheld from the employees cheques in order to fund their pension contribution. Both the employees and employers contributions are sent to the plan trustee at year end.

What amount of annual pension expense will the company report?

Pension expense to be reported $

Prepare a summary journal entry to record Carla Vista Ltd.s payment to the plan trustee. (Credit account titles are automatically indented when the amount is entered. Do not indent manually.)

Accounts Debit Credit

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