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Pillsbury Boys Corp. sponsors a defined benefit pension plan for its employees. On January 1, 2022, the following balances related to this plan:

Dr/(Cr)

Plan assets, at fair value $400,000

Projected benefit obligation ($560,000)

Pension asset/(liability) ($160,000)

OCI- Prior service cost $ 90,000

OCI- Pension Loss/(Gain) $ 65,000

As a result of the operation of the plan during 2022, the actuary provided the following additional data at December 31, 2022:

Service cost for 2022 $ 43,000

Actual return on plan assets in 2022 $ 20,000

Amortization of prior service cost $ 18,000

Employer contributions to trustee in 2022 $ 41,000

Benefits paid to retirees in 2022 $ 15,000

Discount rate 6%

Expected return on plan assets 5%

Average remaining service life of active employees 8 years

The company amortizes pension losses/gains on a straight-line basis over 10 years. The companys fiscal year ends December 31.

Required:

Calculate total pension expense for 2022. Show all calculations clearly.

Prepare the journal entry or entries related to the defined pension plan for 2022. Round your answers to the nearest whole dollar. Prepare the entry or entries in proper form as of 12/31/2022 with explanations and calculations. Skip a row between entries.

Indicate clearly the pension amounts to be reported on:

The income statement;

The balance sheet. Do not report the cash effects. Just report other assets, if any, liabilities, and stockholders equity. If equity accounts have debit balances, show them in parentheses.

Make sure each financial statement line item is clearly described (e.g., operating or non-operating revenues or expenses, current or noncurrent assets or liabilities, equity or contra-equity, etc.). If any amounts are reported as negative financial statement balances, show them in parentheses.

Note: You may prepare a pension worksheet for your own benefit but the worksheet is not required, should not be submitted, and will not be graded if it is submitted.

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