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On January 1, 2016, Burleson Corporation’s projected benefit obligation was $30 million. During 2016 pension benefits paid by the trustee were$4 million. Service cost for 2016 is $12 million. Pension plan assets (at fair value) increased during 2016 by$6 million as expected. At the end of 2016, there was no prior service cost and a negligible balance in net loss–AOCI. The actuary’s discount rate was 10%. Required: Determine the amount of the projected benefit obligation at December 31, 2016.
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1 of 4In this exercise, we are asked to determine the amount of projected benefit obligation at year-end.
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