result of the termination benefits in 2020? 2. What amount should be recognized in profit or loss as a Problem 19-15 (AICPA Adapted) retirement age specified in the entity's pension plan. The termination benefits consisted of lump sum and periodic On September 1, 2020, Howe Company offered special Additionally, the employees accepting the entity offer termination benefits to employees who had reached the early . September 1, 2020, Howe Company offered special future payments. Additionally, the employees accepting the entity offer veceive the usual early retirement pension benefits. The offer expired on November 30, 2020. Actual or reasonably estimated amounts on December 31, 2020 relating to the employees accepting the offer are as follows: 475,000 Lump sum payments made on January 1, 2021 Present value of periodic payments of P60,000 annually for 3 years which will begin January 1, 2022 155,000 Reduction of accrued pension cost on December 31, 2020 for terminating employees 45,000 1. On December 31, 2020, what amount should be reported as total liability for termination benefits? a. 475,000 b. 585,000 C. 630,000 d. 655,000 a. 630,000 b. 475,000 C. 585,000 d. 45,000
result of the termination benefits in 2020? 2. What amount should be recognized in profit or loss as a Problem 19-15 (AICPA Adapted) retirement age specified in the entity's pension plan. The termination benefits consisted of lump sum and periodic On September 1, 2020, Howe Company offered special Additionally, the employees accepting the entity offer termination benefits to employees who had reached the early . September 1, 2020, Howe Company offered special future payments. Additionally, the employees accepting the entity offer veceive the usual early retirement pension benefits. The offer expired on November 30, 2020. Actual or reasonably estimated amounts on December 31, 2020 relating to the employees accepting the offer are as follows: 475,000 Lump sum payments made on January 1, 2021 Present value of periodic payments of P60,000 annually for 3 years which will begin January 1, 2022 155,000 Reduction of accrued pension cost on December 31, 2020 for terminating employees 45,000 1. On December 31, 2020, what amount should be reported as total liability for termination benefits? a. 475,000 b. 585,000 C. 630,000 d. 655,000 a. 630,000 b. 475,000 C. 585,000 d. 45,000
Intermediate Accounting: Reporting And Analysis
3rd Edition
ISBN:9781337788281
Author:James M. Wahlen, Jefferson P. Jones, Donald Pagach
Publisher:James M. Wahlen, Jefferson P. Jones, Donald Pagach
Chapter19: Accounting For Post Retirement Benefits
Section: Chapter Questions
Problem 13E
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