Information on Batman Corp.'s defined benefit plan follows:
• Fair value of plan assets, January 1- P1,620,000
• Present value of defined benefit obligation, January 1- P1,800,000
- Vested past service cost- P180,000
• Unvested past service cost (vesting period is 5 years)- P270,000
• Current service cost-P540,000
- Benefits paid to retirees during the year- P360,000
- Net loss on settlement of plan during the year- P45,000
- Actuarial gains during the period- P18,000
- Return on plan assets during the period- P108,000
• Discount rate-11%
How much is the defined benefit cost for the period?
A.P1,036,800
B.P966,600
C.P1,107,000
D.P1,285,200