Answer:
The ending balance=$115,000
Explanation:
Given Data::
PBO beginning balance=$100,000
Current year service cost=$10,000
Interest cost= $8,000
Actuarial loss=$3,000
Employer contributions to plan=$12,000
Payments to retirees=$6,000
Required:
The ending balance of the company's PBO=?
Solution:
The ending balance=Beginning balance+Current year service cost+Interest cost+Actuarial loss-Payments to retirees
The ending balance=$100,000+$10,000+ $8,000+$3,000-$6,000
The ending balance=$115,000
