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Presented below is information related to the pension plan of Carla Vista Inc. for the year $2026.$

The service cost related to pension expense is $$238,000$ using the projected benefits approach.

The projected benefit obligation and the fair value of the plan assets at the beginning of the year are $$318,000$ and $$276,000,$

respectively. The expected return on plan assets is $9\%$ and the settlement rate is $10\%.$

The accumulated OCI $-$ prior service cost at the beginning of the year is $$138,000.$ The company has a workforce of $200$

employees, all who are expected to receive benefits under the plan. The total number of service$-$years is $1,000$ and the

service$-$years attributable to $2026$ is $200.$ The company has decided to use the years$-$of$-$service method of amortization for

these costs.

At the beginning of the period, the fair value of pension plan assets was $$276,000.$ The company had an Accu$latedOCl$

$($loss$)$ at the beginning of the period of $$88,000.$ Any amortization of unrecognized net loss is recognized on a straight$-$line

basis over the average remaining service$-$life of the employees.

The contribution made to the pension fund in $2026$ was $$227,000.$

$($a$)$

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Determine the pension expense to be reported on the income statement for $2026.($Round answer to $0$ decimal places, e$\mathrm{.}8\mathrm{.}1525.)$

Pension expense

$($b$)$

Prepare the journal entry to record pension expense for $2026.($Credit account titles are automatically indented when amount is

entered. Do not indent manually. List all debit entries before credit entries.$)$

Account Titles and Explanation

Debit

Credit

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