The following information relates to the pension plan of Brown company. Defined benefit obligation, January 1, 2020 - P 4,000,000 Fair value of plan assets, January 1, 2020 - 3,600,000 The following information is for the year 2021: Contributions to the plan - P1,000,000 Benefits paid - 500,000 Discount rate - 10% Service cost for year 2021 - 1,200,000 Actual return on plan assets - 400,000 Actuarial loss on defined benefit obligation - 150,000 How much is the retirement benefit expense for the year 2021?

The following information relates to the pension plan of Brown company. Defined benefit obligation, January 1, 2020 - P 4,000,000 Fair value of plan assets, January 1, 2020 - 3,600,000 The following information is for the year 2021: Contributions to the plan - P1,000,000 Benefits paid - 500,000 Discount rate - 10% Service cost for year 2021 - 1,200,000 Actual return on plan assets - 400,000 Actuarial loss on defined benefit obligation - 150,000 How much is the retirement benefit expense for the year 2021?

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 4E

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