Reference no: EM132478339

Question - The following information relates to Haywood, Inc.:

	For the Year Ended December 31,
	2007	2008
Plan assets (at fair value)	$1,260,000	$1,824,000
Pension expense	570,000	450,000
Accumulated benefit obligation	1,620,000	1,884,000
Annual contribution to plan	600,000	450,000
Unrecognized prior service cost	480,000	420,000

Prior to 2007, cumulative pension expense recognized equaled cumulative contributions.

Q1. The amount reported as the total liability for pensions on the December 31, 2007 balance sheet is

a. $-0-.

b. $30,000.

c. $360,000.

d. $390,000.

Q2. The amount reported as an intangible asset on the December 31, 2007 balance sheet is

a. $-0-.

b. $390,000.

c. $360,000.

d. $30,000.

Q3. The amount reported as the total liability for pensions on the December 31, 2008 balance sheet is

a. $ -0-.

b. $60,000.

c. $3960,000.

d. $30,000.

Q4. The amount reported as an intangible asset on the December 31, 2008 balance sheet is

a. $-0-.

b. $60,000.

c. $90,000.

d. $30,000.