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Advocard [28]
3 years ago
15

Scallion Company received the following reports of its defined benefit pension plan for the current calendar year: PBO Plan asse

ts Balance, January 1 $ 460,000 Balance, January 1 $ 256,000 Service cost 193,000 Actual return 39,000 Interest cost 31,000 Annual contribution 111,000 Benefits paid (83,000 ) Benefits paid (83,000 ) Balance, December 31 $ 601,000 Balance, December 31 $ 323,000 The long-term expected rate of return on plan assets is 10%. Assuming no other data are relevant, what is the pension expense for the year?
Business
2 answers:
Vesnalui [34]3 years ago
7 0

Answer:

The pension expense for the year is 198,400

Explanation:

According to the reports received by the company we have the following relevant data to calculate the pension expense for the year:

Service cost of $ 193,000

Interest cost of $ 31,000

Considering that the long-term expected rate of return on plan assets is 10%, then $ 256,000×10%= 25,600

Pension expense for the year= Service cost of $ 193,000 +Interest cost of $ 31,000-25,600= 198,400.

Colt1911 [192]3 years ago
7 0

Answer:

$198,400

Explanation:

Explanation- Pension expense for the year =Service cost+ Interest cost- Expected return on plan assets

= $193000 + $31000- ($256000 x 10%)

= $224000 - $25600

= $198,400

The pension expense for the year is = $198,400

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EPS is Net Income attributed to shareholders divided by no. of shares outstanding. The dividend on preferred stock is subtracted from net income before calculating earnings per share (EPS). Following is the formula for Earnings per share

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3 years ago
Crane Company Ltd. publishes a monthly sports magazine, Fishing Preview. Subscriptions to the magazine cost $28 per year. During
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Answer:

A. Debit unearned subscription revenue $21,000

Credit Subscription Revenue $21,000

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Explanation:

A. Preparation of the adjusting entry at December 31, 2022, to record subscription revenue in December 2022.

Debit unearned subscription revenue $21,000

Credit Subscription Revenue $21,000

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B. Preparation of the adjusting entry at March 31, 2023, to record subscription revenue in the first quarter of 2023.

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8 0
3 years ago
Which of the following statements is CORRECT?
Tatiana [17]
The answer is E. i might be wrong
3 0
3 years ago
Which of the following statements is correct with respect to economic incentives to release financial information?
makvit [3.9K]

Answer:

B

Explanation:

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Which of the following is consistent with effective internal control over sales transactions?A. The accounting department prepar
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Answer:

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According to the above, the response that shows an effective internal control over sales transactions is the A, since it establish a list of products authorized to ship, creating a control over the procedure avoiding errors that may appear.

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3 years ago
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