Given the Following Information,compute December 31,2012 Projected Benefit Obligation (PBO)and

question 10

Essay

Given the following information,compute December 31,2012 projected benefit obligation (PBO)and fair market value (FMV)of plan assets for Eagan Company.
$\begin{array}{|l|r|}\hline \text { Prior service cost granted in a 2012 plan amendment } & \$ 115,000 \\\hline \text { Interest on PBO } & 73,000 \\\hline \text { Actual return on plan assets } & 101,000 \\\hline \text { Service cost } & 84,000 \\\hline \text { Contribution sent to plan trustee } & 62,000 \\\hline \text { Benefit payments to retirees } & 24,000 \\\hline \text { Liability loss (gain) } & (37,000) \\\hline \text { FMV of plan assets, January 1, 2012 } & 735,000 \\\hline \text { PBO, January 1, 2012 } & 814,000\\\hline\end{array}$
What amount of asset or liability will be reported on the balance sheet at December 31,2012?

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Definitions:

Ecological Niche

The role and position a species has in its environment, including all its interactions with the biotic and abiotic factors of its environment.

Competitively Superior

Describes an organism that has advantages over others in terms of resource acquisition, survival, and reproduction within a competitive environment.

Adaptive Radiation

The diversified evolution of a group of organisms into forms filling different ecological niches.

Parasite

An organism that lives on or in a host organism and gets its food at the expense of its host, often causing harm.