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  3. the pension plan for general gap, u.s. company, en

The pension plan for General GAP, U.S. company, ended Year 6 with a fair value...

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Accounting

The pension plan for General GAP, U.S. company, ended Year 6 with a fair value of plan assets and projected benefit obligation of $930,000 and $850,000, respectively. The following information pertains to Year 7 for the plan: Plan contributions: $110,000 Plan benefits paid: $95,000 Service cost: $275,000 Other Comprehensive Income Balances: - Unrecognized prior serivice cost goes from $225,000 at the end of Year 6 to $210,000 at the end of Year 7 - Current prior service cost: $10,000 - Unrecognized pension gain goes from $85,000 at the end of Year 6 to $90,000 at the end of Year 7 - Current pension gain: $12,000 Discount Rate: 8% Expected (and Actual) Return on Plan Assets: 9% Tax Rate: 30% 5.Provide the journal entires (include deferred tax impacts) for each of the following events: a.Contribution to the pension plan b. Current Year Net Gain c. Current Year Prior Service Cost d.Service Cost e. Interest Cost f. Return on Plan Assets g. Amortization of Prior Service Cost h. Amortization of Net Gain

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