Mars Inc. has a defined benefit pension plan. On December 31 (the end of the fiscal year) , the company received the PBO report from the actuary. The following information was included in the report: ending PBO, $110,000; benefits paid to retirees, $10,000; interest cost, $7,200. The discount rate applied by the actuary was 8%. What was the beginning PBO?
A) $ 90,000.
B) $100,000.
C) $107,200.
D) $112,000.PBO, 1/1 = $7,200/8% = $90,000
Correct Answer:
Verified
Q52: The component of pension expense that results
Q54: An underfunded pension plan means that the:
A)
Q54: Assume that at the beginning of the
Q55: An overfunded pension plan means that the:
A)
Q55: Scallion Company received the following reports on
Q56: The pension expense includes periodic changes that
Q56: Louie Company has a defined benefit pension
Q57: Pension gains related to plan assets occur
Q58: The three components of pension expense that
Q59: Which of the following is not a
Unlock this Answer For Free Now!
View this answer and more for free by performing one of the following actions
Scan the QR code to install the App and get 2 free unlocks
Unlock quizzes for free by uploading documents