homework

Chapter 20

E20.3 (LO 1, 2, 3) (Preparation of Pension Worksheet) Using the information in E20.2, prepare a pension worksheet inserting January 1, 2020, balances, showing December 31, 2020, balances, and the journal entry recording pension expense.

E20.4 (LO 1, 2) (Basic Pension Worksheet) The following facts apply to the pension plan of

Boudreau Inc. for the year 2020.

Plan assets, January 1, 2020

Projected benefit obligation, January 1, 2020 Settlement rate

Service cost

Contributions (funding)

Actual and expected return on plan assets Benefits paid to retirees

Instructions

Using the preceding data, compute pension expense for the year 2020. As part of your solution, prepare a pension worksheet that shows the journal entry for pension expense for 2020 and the year-end balances in the related pension accounts.