Posted: 01 Jul 2010 at 13:52 | IP Logged
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Hey thank you for responding, here is the exercise, gain is zero but I don't understand why....
Thank youuuu
12/31/1
PBO 1500,000 FV plan assets 1400,000 unrecognized prior service 200k net transition asset 60k
12/31/2
pbo 1740,000 fv plan assets 1800,000 service cost 220k
discount rate 6% expected rate 8%
make annual contribution 200k, avg life 20yrs company expects to pay benefits totaling 170k to retired employees in yr 3
tax rate 30%
periodic penstion cost on 12/31/2 income statement?
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