E20-10B (Pension Worksheet) Dade Shutters Inc. sponsors a defined-benefit pension plan for its employees. On January 1, 2014, the following balances relate to this plan. Plan assets $1,650,000 Projected benefit obligation 1,960,000 Pension liability 310,0

E20-10B (Pension Worksheet) Dade Shutters Inc. sponsors a defined-benefit pension plan for its employees.

On January 1, 2014, the following balances relate to this plan.

Plan assets                                                 $1,650,000

Projected benefit obligation                      1,960,000

Pension liability                                               310,000

Prior service cost                                             240,000

As a result of the operation of the plan during 2014, the following additional data are provided by the actuary.

Service cost for 2014                                                                                      $133,000

Settlement rate, 6%

Actual return on plan assets in 2014                                                             108,000

Amortization of prior service cost                                                                     24,000

Expected return on plan assets                                                                     160,000

Unexpected gain from change in projected benefit obligation,

due to change in actuarial predictions                                                         211,000

Contributions in 2014                                                                                      143,000

Benefits paid retirees in 2014                                                                        178,000

Instructions

(a) Using the data above, compute pension expense for Dade Shutters for the year 2014 by preparing a pension worksheet.

(b) Prepare the journal entry for pension expense for 2014.