Use the following information for questions.
The following information for Cooper Enterprises is given below:
There were no unexpected gains or losses at January 1, 2011.The average remaining service life of employees is 10 years.

-The amortization of Unrecognized Net Loss for 2012 is:

Question

Use the following information for questions.
The following information for Cooper Enterprises is given below:
There were no unexpected gains or losses at January 1, 2011.The average remaining service life of employees is 10 years.
 
-The amortization of Unrecognized Net Loss for 2012 is:

Quizplus · Accepted Answer

The information given suggests that Cooper Enterprises has an Unrecognized Net Loss balance. However, there were no unexpected gains or losses at January 1, 2011, which means that the Unrecognized Net Loss balance at the beginning of 2012 is the same as it was at the beginning of 2011. Therefore, the amortization of the Unrecognized Net Loss for 2012 would be the same amount as the Unrecognized Net Loss balance at the beginning of 2012. Based on the information given, the only option that matches the Unrecognized Net Loss balance is choice (B) $6,395.

Use the Following Information for Questions