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##### week 6 accounting

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Question;So I have to come up with three different answers and have them on excel? can someone help me?First Problem:Illinois Wholesale Company has an agreement with it sales manager entitling that individual to 7% of company earning as a bonus. Company income for the calendar year before bonus and income tax is \$350,000. Income tax is 30% of income after bonus.1. Compute the amount of bonus is the bonus is calculated on income before deductions for bonus and income tax.2. Compute the amount of bonus is calculated on income after deduction for bonus but before deduction for income tax.Second Problem:Francisco Company has established a defined benefit pension plan for its lone employee, Derrald Ryan, Annual payments under the pension plan are equal to 3% of Derrald's highest lifetime salary multiplied by the number of years with the company. Derralds salary in 2014 was \$75,000. Derrald is expected to retire in 20 years, and his salary increase are expected to average 4% per year during that period. As of the beginning of 2015, Derrald has worked for Francisco Company for 12 years.1. What is the amount of the annual pension payment that should be used in computing Francisco's accumulated benefit obligation (ABO) as of January 1, 2015?2. What is the amount of the annual pension payment that should be used in computing Francisco's projected benefit obligation (PBO) as of January 1, 2015?Third Problem:Pension plan information for Naperville WIndow Company is as follows:January 1, 2015 PBO.......................................................................... \$4,780,000ABO........................................................................... \$3,950,000During 2015 Pension benefits paid to retire employees................\$315,000December 31, 2015 PBO........................................................................... \$ 5,425,000ABO........................................................................... \$ 4,245,000Obligation Discount rate...................................................................................... 10%Assuming no change in actuarial assumptions, what is the pension service cost for 2015?

Paper#56876 | Written in 18-Jul-2015

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