What amount should Webb Company contribute in order to report an accrued liability for retirement benefit cost of P200,000 in its December 31, 2005 balance sheet? Webb Company implemented a defined...


What amount should Webb Company contribute in order to report an accrued<br>liability for retirement benefit cost of P200,000 in its December 31, 2005 balance<br>sheet?<br>Webb Company implemented a defined benefit plan for its employees on January 1, 2002.<br>During 2002 and 2003, Webb's contributions fully funded the plan. The following data are<br>provided for 2004 and 2005:<br>2005 estimated<br>2004 actual<br>Projected benefit obligation, 12/31<br>Accumulated benefit obligation, 12/31<br>Plan assets at fair value<br>Projected benefit obligation<br>in excess of plan assets<br>Retirement benefit expense<br>Employer's contribution<br>P7,500,000<br>5,200,000<br>6,750,000<br>P7,000,000<br>5,000,000<br>6,000,000<br>750,000<br>900,000<br>?<br>1,000,000<br>800,000<br>500,000<br>(a) P1,000,000<br>(b) P700,000<br>(c) P600,000<br>O (d) P500,000<br>

Extracted text: What amount should Webb Company contribute in order to report an accrued liability for retirement benefit cost of P200,000 in its December 31, 2005 balance sheet? Webb Company implemented a defined benefit plan for its employees on January 1, 2002. During 2002 and 2003, Webb's contributions fully funded the plan. The following data are provided for 2004 and 2005: 2005 estimated 2004 actual Projected benefit obligation, 12/31 Accumulated benefit obligation, 12/31 Plan assets at fair value Projected benefit obligation in excess of plan assets Retirement benefit expense Employer's contribution P7,500,000 5,200,000 6,750,000 P7,000,000 5,000,000 6,000,000 750,000 900,000 ? 1,000,000 800,000 500,000 (a) P1,000,000 (b) P700,000 (c) P600,000 O (d) P500,000

Jun 09, 2022
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