Pension data for Barry Financial Services Inc. include the following: ...
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Accounting
Pension data for Barry Financial Services Inc. include the following:
($ in thousands)
Discount rate, 7%
Expected return on plan assets, 8%
Actual return on plan assets, 7%
Service cost, 2021
$
500
January 1, 2021:
Projected benefit obligation
3,250
Accumulated benefit obligation
2,950
Plan assets (fair value)
3,350
Prior service costAOCI (2021 amortization, $30)
420
Net gainAOCI (2021 amortization, $12)
520
There were no changes in actuarial assumptions.
December 31, 2021:
Cash contributions to pension fund, December 31, 2021
435
Benefit payments to retirees, December 31, 2021
460
Required:1. Determine pension expense for 2021. 2. Prepare the journal entries to record (a) pension expense, (b) gains and losses (if any), (c) funding, and (d) retiree benefits for 2021.
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