E20-8B (Application of the Corridor Approach) XTRA Inc. has beginning-of-the-year present values for its projected benefit obligation and market-related values for its pension plan assets.
2014 $1,000,000 $ 900,000
2015 1,250,000 1,100,000
2016 1,600,000 1,450,000
2017 2,100,000 2,000,000
The average remaining service-life per employee in 2014 and 2015 is 8 years and in 2016 and 2017 is 11 years. The net gain or loss that occurred during each year is as follows: 2014, $165,000 gain; 2015, $40,000 gain; 2016, $30,000 loss; and 2017, $15,000 loss. (In working the solution, the gains and losses must be aggregated
to arrive at year-end balances.)
Using the corridor approach, compute the amount of net gain or loss amortized and charged to pension expense in each of the 4 years, setting up an appropriate schedule.
Delivering a high-quality product at a reasonable price is not enough anymore.
That’s why we have developed 5 beneficial guarantees that will make your experience with our service enjoyable, easy, and safe.
You have to be 100% sure of the quality of your product to give a money-back guarantee. This describes us perfectly. Make sure that this guarantee is totally transparent.Read more
Each paper is composed from scratch, according to your instructions. It is then checked by our plagiarism-detection software. There is no gap where plagiarism could squeeze in.Read more
Thanks to our free revisions, there is no way for you to be unsatisfied. We will work on your paper until you are completely happy with the result.Read more
Your email is safe, as we store it according to international data protection rules. Your bank details are secure, as we use only reliable payment systems.Read more
By sending us your money, you buy the service we provide. Check out our terms and conditions if you prefer business talks to be laid out in official language.Read more