Question

The following facts apply to the pension plan of Wildhorse Inc. for the year 2020.

Plan assets, January 1, 2020		$563,200
Projected benefit obligation, January 1, 2020		563,200
Settlement rate		8	%
Service cost		40,900
Contributions (funding)		27,500
Actual and expected return on plan assets		53,600
Benefits paid to retirees		33,100

Using the preceding data, compute pension expense for the year 2020. As part of your solution, prepare a pension worksheet that shows the journal entry for pension expense for 2020 and the year-end balances in the related pension accounts

WILDHORSE INC. Pension Worksheet—2020
		General Journal Entries									Memo Record
Items		Annual Pension Expense			Cash			Pension Asset/ Liability			Projected Benefit Obligation			Plan Assets
Balance, January 1, 2020		$enter a net debit or credit balance	select between debit and creditDr.Cr. Dr.Cr.		$enter a net debit or credit balance	select between debit and creditDr.Cr. Dr.Cr.		$enter a net debit or credit balance	select between debit and creditDr.Cr. Dr.Cr.		$enter a net debit or credit balance	select between debit and creditDr.Cr. Dr.Cr.		$enter a net debit or credit balance	select between debit and creditDr.Cr. Dr.Cr.
Service cost		enter a dollar amount	select between debit and creditDr.Cr. Dr.Cr.		enter a dollar amount	select between debit and creditDr.Cr. Dr.Cr.		enter a dollar amount	select between debit and creditDr.Cr. Dr.Cr.		enter a dollar amount	select between debit and creditDr.Cr. Dr.Cr.		enter a dollar amount	select between debit and creditDr.Cr. Dr.Cr.
Interest cost		enter a dollar amount	select between debit and creditDr.Cr. Dr.Cr.		enter a dollar amount	select between debit and creditDr.Cr. Dr.Cr.		enter a dollar amount	select between debit and creditDr.Cr. Dr.Cr.		enter a dollar amount	select between debit and creditDr.Cr. Dr.Cr.		enter a dollar amount	select between debit and creditDr.Cr. Dr.Cr.
Actual return		enter a dollar amount	select between debit and creditDr.Cr. Dr.Cr.		enter a dollar amount	select between debit and creditDr.Cr. Dr.Cr.		enter a dollar amount	select between debit and creditDr.Cr. Dr.Cr.		enter a dollar amount	select between debit and creditDr.Cr. Dr.Cr.		enter a dollar amount	select between debit and creditDr.Cr. Dr.Cr.
Contributions		enter a dollar amount	select between debit and creditDr.Cr. Dr.Cr.		enter a dollar amount	select between debit and creditDr.Cr. Dr.Cr.		enter a dollar amount	select between debit and creditDr.Cr. Dr.Cr.		enter a dollar amount	select between debit and creditDr.Cr. Dr.Cr.		enter a dollar amount	select between debit and creditDr.Cr. Dr.Cr.
Benefits		enter a dollar amount	select between debit and creditDr.Cr. Dr.Cr.		enter a dollar amount	select between debit and creditDr.Cr. Dr.Cr.		enter a dollar amount	select between debit and creditDr.Cr. Dr.Cr.		enter a dollar amount	select between debit and creditDr.Cr. Dr.Cr.		enter a dollar amount	select between debit and creditDr.Cr. Dr.Cr.
Journal entry, December 31		$enter a net debit or credit amount	select between debit and creditDr.Cr. Dr.Cr.		$enter a net debit or credit amount	select between debit and creditDr.Cr. Dr.Cr.		enter a net debit or credit amount	select between debit and creditDr.Cr. Dr.Cr.		enter a net debit or credit amount	select between debit and creditDr.Cr. Dr.Cr.		enter a net debit or credit amount	select between debit and creditDr.Cr. Dr.Cr.
Balance, December 31, 2020								$enter a net debit or credit balance	select between debit and creditDr.Cr. Dr.Cr.		$enter a net debit or credit balance

Answer 1