E17-10
(1)
| DBO | Plan assets | DBE | Balance Jan 1 | (120) | 80 | | Service cost | (20) | | 20 | Interest cost | (12) | | 12 | Benefit paid | 9 | (9) | | Actual return on plan assets | | 9 | (9) | Contribution | | 20 | | Balance Dec 31 | (143) | 100 | 23 |

(2)
Defined benefit expense $23
Plan assets 100
OCI 20
DBO 143

E17-12
(1)
Actuary estimates employee has earned (as of 2011) retirement benefits of 1.2%*20*$80000= $19200
(2)
Present value (n=15 i=7%) of the retirement annuity at the retirement date is $19200*9.10791= $174319

(3)
Present value (n=25 i=7%) of retirement benefit at 2011 is $174319*0.18425= $ 32118 (DBO)
(5)
Actuary estimates employee has earned (as of 2012) retirement benefits of 1.2%×21×80000= 20160
Present value (n=15 i=7%) of retirement annuity at the retirement date is 20160×9.10791= 181801
Present value (n=24 i=7%) of retirement benefits ar 2012 is $181801×0.19715=$35842 (DBO)
(6)
DBO at the beginning of 2012 (end of 2011) $32118
Service cost(1.2%×1×80000) ×9.10791×0.19715 1724
Interest cost $32118×7% 2248
DBO at the end of 2012 $36090

E17-19
(1) Dec 31 2011
Defined benefit expense $89
Plan assets (expected return on assets) 25
DBO (service cost+ interest cost) 106
DBO (past service cost) 8
(2)
Plan assets ( $40-25) $15
Remeasurement gain (OCI)