The accountant for Marlin Corporation has developed the foll…
The accountant for Marlin Corporation has developed the following information for the company’s defined-benefit pension plan for 2025: On January 1, 2025, Marlin amends the plan and grants prior service benefits having a present value of $1,250,000 Service cost 1,000,000 Actual return on plan assets 500,000 Annual contribution to the plan 1,840,000 Amortization of prior service cost 250,000 Benefits paid to retirees 120,000 Settlement rate 10% Expected rate of return on plan assets 8% The average remaining service period of Marlin’s employees is 10 years. Required: Using the information provided, complete the pension worksheet for 2025. Calculated amounts should be supported. Prepare the journal entry to reflect the accounting for the company’s pension plan for the year ending December 31, 2025.