Fox Company Received the Following Reports on Its Defined Benefit

question 149

Multiple Choice

Fox Company received the following reports on its defined benefit pension plan for the current calendar year: The long-term expected rate of return on plan assets is 8%. Assuming no other data are relevant, what is the pension expense for the year?

• A)$384,000.
• B)$360,000.
• C)$424,000.
• D)$374,000.

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Definitions:

Clavicle

A long bone that serves as a strut between the shoulder blade and the sternum or breastbone, commonly known as the collarbone.

Scapula

The Scapula, commonly known as the shoulder blade, is a flat, triangular bone located on the back of the shoulder, connecting the humerus with the clavicle.

Sternum

A long flat bone located in the center of the chest, connected to the ribs via cartilage and forming part of the rib cage.

Humerus

A long bone in the upper arm that runs from the shoulder to the elbow, connecting with various muscles and joints.