Pension Expense and Liability On December 31, 2013, Robey Company accumulated th

Question

Pension Expense and Liability On December 31, 2013, Robey Company accumulated the following information for 2013 in regard to its defined benefit pension plan:

Service cost $121,000

Interest cost on projected benefit obligation 14,000

Expected return on plan assets 13,000

Amortization of prior service cost 4,000

On its December 31, 2012, balance sheet, Robey had reported an accrued/prepaid pension cost liability of $12,000.

1. Compute the amount of Robey's pension expense for 2013. ROBEY COMPANY Pension Expense Calculation December 31, 2013 Service cost $ 121000 Interest cost on projected benefit obligation 14000 Expected return on plan assets 13000 Amortization of prior service cost 4000 2013 pension expense $ 126000 Show All Feedback Hide

2 a. Prepare all the journal entries related to Robey's pension plan for 2013 if it funds the pension plan in the amount of $126,000 Record expense Pension Expense 126000 Cash 126000 Record PSC Accrued/Prepaid Pension Cost 4000 Other Comprehensive Income: Prior Service Cost 4000 Show All Feedback Hide

2 b. Prepare all the journal entries related to Robey's pension plan for 2013 if it funds the pension plan in the amount of $125,000. For compound entries, if an amount box does not require an entry, leave it blank. Record expense Pension Expense 126000 Cash 125000 Accrued/Prepaid Pension Cost 1000 Record PSC Accrued/Prepaid Pension Cost 4000 Other Comprehensive Income: Prior Service Cost 4000 Show All Feedback Hide

2 c. Prepare all the journal entries related to Robey's pension plan for 2013 if it funds the pension plan in the amount of $130,000. For compound entries, if an amount box does not require an entry, leave it blank. Record expense Pension Expense 126000 Accrued/Prepaid Pension Cost 4000 Cash 130000 Record PSC Accrued/Prepaid Pension Cost 4000 Other Comprehensive Income: Prior Service Cost 4000 Show All Feedback

3. Assuming Robey's beginning 2013 Other Comprehensive Income-Prior Service Cost balance was $64,000 what would be its ending balance? $ 60000

4. How much would Robey need to fund its pension plan for 2013 in order to report an accrued/prepaid pension cost asset of $6,000 at the end of 2013? $ ???

I cannot figure out the answer to #4.

Explanation / Answer

Use this link to get answer

https://financeaccountsonlinetutoring-robeyspensionanalysis.googledrives/

Related Questions

Navigate

• Browse (All)
• Browse P
• Subjects

Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.