Burleson Corporations projected benefit obligation was $30

Burleson Corporations projected benefit obligation was $30

1. On January 1, 2013, Burleson Corporations projected benefit obligation was $30 million. During 2013 pension benefits paid by the trustee were $4 million. Service cost for 2013 is $12 million. Pension plan assets (at fair value) increased during 2013 by $6 million as expected. At the end of 2013, there was no prior service cost and a negligible balance in net lossAOCI. The actuarys discount rate was 10%.Required:Determine the amount of the projected benefit obligation at December 31, 2013. (Enter your answer in millions.)2. Pension data for Sterling Properties include the following:Required:Service cost, 2013 $112 Projected benefit obligation, January 1, 2013 850 Plan assets (fair value), January 1, 2013 900 Prior service costAOCI (2013 amortization, $8) 80 Net lossAOCI (2013 amortization, $1) 101 Interest rate, 6%Expected return on plan assets, 10% Actual return on plan assets, 11%RequiredDetermine pension expense for 2013. 3. Pension data for Millington Enterprises include the following:Discount rate, 10%Projected benefit obligation, January 1 $ 360Projected benefit obligation, December 31 465Accumulated benefit obligation, January 1 300Accumulated benefit obligation, December 31 415Cash contributions to pension fund, December 31 150Benefit payments to retirees, December 31 54Required:Assuming no change in actuarial assumptions and estimates, determine the service cost component of pension expense for the year ended December 31. (Enter your answer in millions.)4. Abbott and Abbott has a noncontributory, defined benefit pension plan. At December 31, 2013, Abbott and Abbott received the following information:($in millions)Projected Benefit ObligationBalance, January 1 $120Service cost 20Interest cost 12Benefits paid (9)Balance, December 31 $143Plant AssetsBalance, January 1 $80Actual return on plan assets 9Contribution 2011 20Benefits paid (9)Balance, December 31 $100The expected long-term rate of return on plan assets was 10%. There was no prior service cost and a negligible net loss AOCI on January 1, 2013.Required:a. Determine Abbott and Abbotts pension expense for 2013. b. Prepare the journal entries to record Abbott and Abbotts pension expense, funding, and payment for 2013.


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