With clear font and in details please Preparation of a pension worksheet and pen

Question

With clear font and in details please

Preparation of a pension worksheet and pension entries The accountant for Camberwell Ltd. has developed the following information regarding the company's defined benefit pension plan for calendar 2018: 2018 Annual service cost Discount rate/expected rate of return Actual return Funding of current service Funding of past service Benefits paid Past service cost (amended Jan. 1, 2018) Change in acturarial assumptions gives 34,500 9% 38,700 35,300 72,000 54,000 120,000 a Dec. 31, 2018 DBO of 700,000 Jan. 1, 2018 491,000 499,000 Plan assets DBO The corporation uses IFRS Required a) Using the above information, complete the pension work sheet for 2018 b) Prepare the journal entries to reflect the accounting for the company's pension plan for the year ended December 31, 2018

Explanation / Answer

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Items Annual pension expense Cash AOCI-PSC OCI Gain Pension asset/liability Projected benefit obligation Plan assets Amount Dr/cr Amount Dr/cr Amount Dr/cr Amount Dr/cr Amount Dr/cr Amount Dr/cr Amount Dr/cr Balance Jan 1, 2018 Dr Cr             8,000 Cr              4,99,000 Cr        4,91,000 Dr Service cost           34,500 Dr           34,500 Cr                 34,500 Cr Interest cost           44,910 Dr           44,910 Cr                 44,910 Cr PSC amortisation                    -   Dr                    -   Cr Return on plan assets           49,100 Cr             10,400 Dr           38,700 Dr            38,700 Dr OCI Gain amortisation                    -   Cr                      -   Dr New prior service cost        1,20,000 Dr       1,20,000 Cr              1,20,000 Cr Loss due to change in acturial assumptions          7,00,000 Dr              7,00,000 Cr Contributions        1,07,300 Cr       1,07,300 Dr        1,07,300 Dr Benefits paid                 54,000 Dr            54,000 Cr Jounral for 2018           30,310 Dr        1,07,300 Cr        1,20,000 Dr          7,10,400 Dr           53,410 Cr              8,45,410 Cr            92,000 Dr Opening balance Jan 1, 2018                    -   Dr                      -   Cr             8,000 Cr              4,99,000 Cr        4,91,000 Dr Balance Dec 31, 2018        1,20,000 Dr          7,10,400 Dr           61,410 Cr            13,44,410 Cr        5,83,000 Dr

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