Question - Ayayai Company has five employees participating in its defined benefit pension plan. Expected years of future service for these employees at the beginning of 2017 are as follows.
|
Employee
|
Future Years of Service
|
|
Jim
|
3
|
|
Paul
|
4
|
|
Nancy
|
5
|
|
Dave
|
6
|
|
Kathy
|
6
|
On January 1, 2017, the company amended its pension plan, increasing its projected benefit obligation by $72,720.
Compute the amount of prior service cost amortization for the years 2017 through 2022 using the years-of-service method, setting up appropriate schedules.