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The Donna Company Adopted a Defined Benefit Pension Plan on January

Question 86

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The Donna Company adopted a defined benefit pension plan on January 1, 2014, and prior service credit was granted to employees. As of January 1, 2014, the prior service cost is $68,250. The unrecognized prior service cost is amortized by the straight-line method over the remaining 15-year service life of the company's active employees. Funding for the pension plan was $170,745 and $186,933 at December 31, 2014 and 2015, respectively.

The Donna Company adopted a defined benefit pension plan on January 1, 2014, and prior service credit was granted to employees. As of January 1, 2014, the prior service cost is $68,250. The unrecognized prior service cost is amortized by the straight-line method over the remaining 15-year service life of the company's active employees. Funding for the pension plan was $170,745 and $186,933 at December 31, 2014 and 2015, respectively. Required: Prepare the journal entries to record net periodic pension expense and the funding as of December 31, 2014 and 2015. Show computations and round answers to the nearest dollar.
Required:
Prepare the journal entries to record net periodic pension expense and the funding as of December 31, 2014 and 2015. Show computations and round answers to the nearest dollar.

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