Compute the amount of accumulated oci

Assignment Help Accounting Basics
Reference no: EM131109420

1.(Amortization of Accumulated OCI Balances) Keeton Company sponsors a defined-benefit pension plan for its 600 employees. The company's actuary provided the following information about the plan. The average remaining service life per employee is 10.5 years. The service cost component of net periodic pension expense for employee services rendered amounted to $400,000 in 2010 and $475,000 in 2011. The accumulated OCI (PSC) on January 1, 2010, was $1,260,000. No benefits have been paid. Instructions (Round to the nearest dollar)

(a) Compute the amount of accumulated OCI (PSC) to be amortized as a component of net periodic pension expense for each of the years 2010 and 2011.

(b) Prepare a schedule which reflects the amount of accumulated OCI (G/L) to be amortized as a component of pension expense for 2010 and 2011.

(c) Determine the total amount of pension expense to be recognized by Keeton Company in 2010 and 2011.

2131_11-b-a-p-p-b--66-.jpg

Reference no: EM131109420

Questions Cloud

Compute postretirement benefit expense for 2010 : (Postretirement Benefit Expense Computation) Garner Inc. provides the following information related to its postretirement benefits for the year 2010.
Prepare the journal entry recording postretirement : (Postretirement Benefit Worksheet) Using the information in E20-19, prepare a worksheet inserting January 1, 2010, balances, and showing December 31, 2010, balances.
Compute the postretirement benefit expense for 2010 : (Postretirement Benefit Expense Computation) Kreter Co. provides the following information about its postretirement benefit plan for the year 2010. Compute the postretirement benefit expense for 2010.
What is the effective annual rate under the line of credit : The prime rate is currently 8%. Both agreements have $4 million borrowing limits. The firm expects on average to borrow $2 million during the year no matter which loan agreement it decides to use. a. What is the effective annual rate under the line o..
Compute the amount of accumulated oci : Compute the amount of accumulated OCI (PSC) to be amortized as a component of net periodic pension expense for each of the years 2010 and 2011.
Calculate the effective annual rate of interest : Frost Finance Co. has offered to lend the funds at a 9% annual rate with discount-loan terms. The principal of both loans would be payable at maturity as a single sum. a. Calculate the effective annual rate of interest on each loan. b. What could Wea..
Calculate the effective annual rate on the firm’s borrowing : The firm has borrowed $800,000 during the year under the agreement. Calculate the effective annual rate on the firm’s borrowing in each of the following circumstances: a. The firm normally maintains no deposit balances at Bank Two. b. The firm normal..
Determine the effective annual rate associated : A financial institution made a $10,000, 1-year discount loan at 10% interest, requiring a compensating balance equal to 20% of the face value of the loan. Determine the effective annual rate associated with this loan.
Calculate the total interest cost over 180 days : Using the forecast prime rate changes, answer the following questions. a. Calculate the total interest cost over 180 days for a fixed-rate loan. b. Calculate the total interest cost over 180 days for a variable-rate loan.

Reviews

Write a Review

Accounting Basics Questions & Answers

  How much control does fed have over this longer real rate

Hubbard argues that the Fed can control the Fed funds rate, but the interest rate that is important for the economy is a longer-term real rate of interest.   How much control does the Fed have over this longer real rate?

  Coures:- fundamental accounting principles

Coures:- Fundamental Accounting Principles: - Explain the goals and uses of special journals.

  Accounting problems

Accounting problems,  Draw a detailed timeline incorporating the dividends, calculate    the exact Payback Period  b)   the discounted Payback Period. the IRR,  the NPV, the Profitability Index.

  Write a report on internal controls

Write a report on Internal Controls

  Prepare the bank reconciliation for company

Prepare the bank reconciliation for company.

  Cost-benefit analysis

Create a cost-benefit analysis to evaluate the project

  Theory of interest

Theory of Interest: NPV, IRR, Nominal and Real, Amortization, Sinking Fund, TWRR, DWRR

  Liquidity and profitability

Distinguish between liquidity and profitability.

  What is the expected risk premium on the portfolio

Your Corp, Inc. has a corporate tax rate of 35%. Please calculate their after tax cost of debt expressed as a percentage. Your Corp, Inc. has several outstanding bond issues all of which require semiannual interest payments.

  Simple interest and compound interest

Simple Interest, Compound interest, discount rate, force of interest, AV, PV

  Capm and venture capital

CAPM and Venture Capital

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd