FAR 7 Flashcards
1
Q
SIRAGE
A
Net Periodic Cost: \+ Service Cost \+ Interest cost - Return on Plan Assets \+ Amort of PSC \+/- Amort of G/L (subtract gains) \+/- Amort of existing obligation
2
Q
Ending FV of plan assets
A
Beg FV of plan assets
+ Contributions
- Benefits Paid to Retirees
+Actual return on Plan Assets
3
Q
Cost Method JE’s
A
Initial Entry: ($15 per share)
Cash xx
CS xx
APIC xx
Buyback above issue price ($20 per share)
TS xx
Cash xx
Reissue above cost ($22 per share) Cash xx (@$22) TS xx (@$20) APIC xx (@$2)
Reissue below cost ($13 per share) Cash xx (@$13) APIC xx (reverse previously used APIC) RE xx (plug) TS xx (@$20)
4
Q
Par Method JE’s
A
Original issue: ($15 per share, $10 par) Cash xx ($15) CS xx ($10 par) APIC xx ($5 plug)
Buyback above issue price ($20 per share) TS xx ($10 par) APIC xx ($5) RE xx (plug) Cash xx ($20)
Buyback below issue price ($12 per share) TS xx ($10 par) APIC xx ($5) Cash xx ($12) APIC T/S xx (plug)
Reissue above cost ($22) (same JE's for reissue below) Cash xx ($22) CS xx ($10) APIC xx ($12 plug)