Question

Information regarding the defined benefit pension plan included the following for 2018 ($ in millions): Plan assets, January 1 $ 70 Plan assets, December 31 105 Retiree benefits paid (end of year) 17 Employer contributions to the pension plan (end of year) 42 What was the actual return on plan assets for 2018?

Answer 1

$10 million

Step-by-step explanation:

We know that

Actual return can be found at using the formula:

Beginning balance ($70) + actual return (?) + contributions ($42) - retiree benefits paid ($17) = ending balance ($105) [in millions]

from the above formula after putting values can get the value of actual return as $10 million.