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The following data are for the pension plan for the employees of Lockett Company.                             &nbs

The following data are for the pension plan for the employees of Lockett Company.

                                                                          1/1/20               12/31/20            12/31/21

Accumulated benefit obligation                  $5,000,000         $5,200,000         $6,800,000

Projected benefit obligation                          5,400,000           5,600,000           7,400,000

Plan assets (at fair value)                               4,600,000           6,000,000           6,600,000

AOCL – net loss                                                       -0-              960,000           1,000,000

Settlement rate (for year)                                                                  10%                      9%

Expected rate of return (for year)                                                        8%                      7%

Lockett’s contribution was $840,000 in 2021 and benefits paid were $750,000. Lockett
estimates that the average remaining service life is 15 years. What is corridor for 2021?

Question 18 options:

$560,000

$740,000

$660,000

$600,000
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