Use the Following Information for Questions

question 41

Multiple Choice

Use the following information for questions.
Foster Corporation received the following report from its actuary at the end of the year:

-The amount reported as the pension liability at December 31, 2011 is

• A)$1,800,000
• B)$1,600,000
• C)$380,000
• D)$360,000

---

Definitions:

Fully Depreciated

Term used for an asset that has reached the end of its useful life, with its cost fully allocated across the accounting periods it was in use.

Disposed

This term refers to the action of getting rid of an asset or property, often through a sale, exchange, retirement, or destruction.

Goodwill

An intangible asset that arises when a business is acquired for more than the fair value of its net identifiable assets, reflecting the company's reputation, customer relations, and other non-physical assets.

Assets And Liabilities

Elements of a company's financial statements where assets represent resources owned, and liabilities represent obligations owed to others.