Suppan Service began the year with a net pension liability of $56 million (underfunded pension plan). Pension expense for the year included the following ($ in millions): service cost, $20; interest cost, $12; expected return on assets, $8; amortization of net gain, $4.
Required:
Prepare the appropriate general journal entry to record Suppan's pension expense.

Question

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The Answer of Suppan Service began the year with a net pension liability of $56 million (underfunded pension plan). Pension expense for the year included the following ($ in millions): service cost, $20; interest cost, $12; expected return on assets, $8; amortization of net gain, $4.
Required:
Prepare the appropriate general journal entry to record Suppan's pension expense.

Suppan Service Began the Year with a Net Pension Liability