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Smith, Inc. has a pension plan with the following data available for 2018 and 2019:
| | 2018 | 2019 |
| Service cost | $ | 30,000 | | $ | 34,000 | |
| Interest cost | $ | 18,000 | | $ | 20,000 | |
| Actual return on plan assets | $ | 15,000 | | $ | 21,600 | |
| Beginning of year plan assets | $ | 200,000 | | $ | 240,000 | |
| Discount rate | | 8 | % | | 8 | % |
| Expected return on plan assets | | 8 | % | | 8 | % |
| |
Smiths pension expense for 2019 is:
Multiple Choice
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$32,400.
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$54,000.
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$34,800.
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$34,000.
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