Actuary and trustee reports indicate the following changes in the PBO and plan assets of...
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Accounting
Actuary and trustee reports indicate the following changes in the PBO and plan assets of Lakeside Cable during 2018:
Prior service cost at Jan. 1, 2018, from plan amendment at the beginning of 2016 (amortization: $6 million per year)
$
51
million
Net losspensions at Jan.1, 2018 (previous losses exceeded previous gains)
$
59
million
Average remaining service life of the active employee group
10
years
Actuarys discount rate
10
%
($ in millions)
PBO
Plan Assets
Beginning of 2018
$
490
Beginning of 2018
$
400
Service cost
67
Return on plan assets,
Interest cost, 10%
49
9.5% (10% expected)
38
Loss (gain) on PBO
(2
)
Cash contributions
66
Less: Retiree benefits
(64
)
Less: Retiree benefits
(64
)
End of 2018
$
540
End of 2018
$
440
6. Using T-accounts, determine the balances at December 31, 2019, in the net lossAOCI and prior service costAOCI. (Enter your answers in millions rounded to 1 decimal place (i.e., 5,500,000 should be entered as 5.5).)
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