Pearsall offers defined benefit pension plan to employees, which had a PBO of $265,000 on January 1, 2021. During 2021, pension benefits paid were $40,000. The discount rate for the plan for this year was 10%. Service cost for 2021 was $80,000. Plan assets (fair value) increased during the year by $45,000. The amount of the PBO at December 31, 2021, was: O 225,000 O 305,000 O 331,500 O None of the above

Pearsall offers defined benefit pension plan to employees, which had a PBO of $265,000 on January 1, 2021. During 2021, pension benefits paid were $40,000. The discount rate for the plan for this year was 10%. Service cost for 2021 was $80,000. Plan assets (fair value) increased during the year by $45,000. The amount of the PBO at December 31, 2021, was: O 225,000 O 305,000 O 331,500 O None of the above

Individual Income Taxes

43rd Edition

ISBN:9780357109731

Author:Hoffman

Publisher:Hoffman

Chapter19: Deferred Compensation

Section: Chapter Questions

Problem 16CE

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