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The following incomplete (columns have missing amounts) pension spreadsheet is for Old Tucson Corporation (OTC).
($ in millions) Debit(Credit) | PBO | Plan Assets | Prior Service Cost | Net (Gain)Loss | Pension Expense | Cash | Net Pension (Liability)/Asset |
Beginning balance | (530) | | | 67 | | | |
Service cost | | | | | 71 | | |
Interest cost | | | | | | | |
Expected return on assets | | | | | (26) | | |
Gain/loss on assets | | | | (2) | | | |
Amortization of: | | | | | | | |
Prior service cost | | | (9) | | | | |
Net gain/loss | | | | | | | |
Loss on PBO | (28) | | | 28 | | | |
Contributions to fund | | | | | | (26) | |
Retiree benefits paid | 49 | (49) | | | | | |
Ending balance | (610) | 306 | 63 | 87 | | | (304) |
What was the prior service cost at the beginning of the year?
$54 million
$72 million
$63 million
$65 million
Answer & Explanation
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