question would it be possible to get an answer to the below questions with calculati 4288218
Question
Would it be possible to get an answer to the below questions(with calculations so that I can understand how to get theanswers).
Net Assets and Employees’ Retirement Fund
Complete the following activities and submit your answers toyour instructor in a Word document formatted to proper APAspecifications. Include any relevant supporting computations andexplanations.
Pension Trust Funds:
7-13:
Review the financial information pertaining to the City ofSweetwater in problem 7-13 on pages 220-221 of your text. Reviewthe transactions that occurred during the year ended June 30, 2015and complete the following:
a. Record the transactions on the books of theEmployees’ Retirement Fund.
b. Prepare a Statement of Changes in Fiduciary NetPosition for the Employees’ Retirement Fund for the Year Ended June30, 2015.
c. Prepare a Statement of Fiduciary Net Position for theEmployees’ Retirement Fund as of June 30, 2015.
The City of Sweetwater maintains an Employees’ Retirement Fund,a single-employer defined benefit plan that provides annuity anddisability benefits. The fund is financed by actuarially determinedcontributions from the city’s General Fund and by contributionsfrom employees. Administration of the retirement fund is handled byGeneral Fund employees, and the retirement fund does not bear anyadministrative expenses. The Statement of Fiduciary Net Positionfor the Employees’ Retirement Fund as of July 1, 2014, is shownhere:
|
CITY OF SWEETWATER Employees’ Retirement Fund Statement of Fiduciary Net Position As of July 1, 2014 |
|
|
Assets |
|
|
Cash |
$120,000 |
|
Accrued Interest Receivable |
65,000 |
|
Investments, at Fair Value: |
|
|
Bonds |
4,500,000 |
|
Common Stocks |
1,300,000 |
|
Total Assets |
5,985,000 |
|
|
|
|
Liabilities |
|
|
Accounts Payable and Accrued Expenses |
350,000 |
|
Fiduciary Net Position Restricted for Pensions |
$5,635,000 |
During the year ended June 30, 2015, the following transactionsoccurred:
1. The interest receivable on investments was collected incash.
2. Member contributions in the amount of $250,000 were receivedin cash.
The city’s General Fund also contributed $750,000 in cash.
3. Annuity benefits of $700,000 and disability benefits of$150,000 were recorded a liabilities.
4. Accounts payable and accrued expenses in the amount of$900,000 were paid in cash.
5. Interest income of $240,000 and dividends in the amount of$40,000 were received in cash. In addition, bond interest income of$60,000 was accrued at year-end.
6. Refunds of $133,000 were made in cash to terminated,nonvested participants.
7. Common stocks, carried at a fair value of $500,000, were soldfor $480,000. That $480,000, plus an additional $300,000, wasinvested in stocks.
8. At year-end, it was determined that the fair value of stocksheld by the pension plan had decreased by $40,000; the fair valueof bonds had increased by $35,000.
9. Nominal accounts for the year were closed.
a. Record the transactions on the books of theEmployees’ Retirement Fund.
b. Prepare a Statement of Changes in Fiduciary NetPosition for the Employees’ Retirement Fund for the Year Ended June30, 2015.
c. Prepare a Statement of Fiduciary Net Position for theEmployees’’ Retirement Fund as of June 30, 2015.