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Pearl Company sponsors a defined benefit pension plan. The following information related to the pension plan is available for 2017 and 2018.
| | | 2017 | | 2018 |
| Plan assets (fair value), December 31 | | $810,840 | | | $984,840 | |
| Projected benefit obligation, January 1 | | 812,000 | | | 928,000 | |
| Pension asset/liability, January 1 | | 162,400 | Cr. | | ? | |
| Prior service cost, January 1 | | 290,000 | | | 278,400 | |
| Service cost | | 69,600 | | | 104,400 | |
| Actual and expected return on plan assets | | 27,840 | | | 34,800 | |
| Amortization of prior service cost | | 11,600 | | | 13,920 | |
| Contributions (funding) | | 133,400 | | | 139,200 | |
| Accumulated benefit obligation, December 31 | | 580,000 | | | 638,000 | |
| Interest/settlement rate | | 9% | | | 9% | |
compute pension expense for 2017:
Compute pension expense for 2018:
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