a. Pension benefit expense for the year 2024

Projected benefit obligation
Particulars (in $ millions)Amount
Beginning balance600
Service cost350
Interest cost60
Prior service cost20
Loss on PBO15
Benefits paid-100
Ending balance945
Plan assets
Particulars (in $ millions)Amount
Beginning balance400
Actual return60
Actual contribution440
Benefits paid-100
Ending balance800
Pension benefit expense for the year 2024
Particulars (in $ millions)Amount
Service cost350
Interest cost60
Expected return40
Loss on PBO15
Pension expense465

b. Income tax expense for the year 2024 

Income tax expense for the year 2024
Particulars (in $ millions)Amount
Depreciation-Plant and Equipment60
Total PBT+dep709
Depreciation-Plant and Equipment-360
Actual PBT149

c. Schedule of bonds for the outstanding bonds as of December 31, 2024

Bond #Face ValueStated Interest RateMaturity PeriodInterest expenseOutstanding Balance
Total666  66.46666

d. Schedule of leases for the outstanding leases as of December 31, 2024

Lease #Lease typeLease PaymentLease PeriodLease ExpenseInterest ExpenseOutstanding balance – assetOutstanding balance – liability
1Finance lease0.1050.100.03 1.70
2Equipment lease0.2060.200.073.85 
3Finance lease0.2050.200.08 1.49

e. Basic and Diluted EPS (2024)

2. Income Statement for the year ended December 31, 2024:

Income Statement for the year ended December 31, 2024
Particulars (in $ millions)AmountAmount
Cash sales1,120.00 
Credit sales480.00 
Sales 1,600.00
Cost of goods sold 320.00
Gross profit 1,280.00
Employee compensation465.00 
Depreciation-Plant and Equipment60.00 
Insurance expense40.00 
Total expenses 585.00
Operating profit 695.00
Interest expenses 66.46
Lease interest payments 0.56
PBT 628.54
Tax 37.14
Profit 591.41

3. Balance Sheet as of December 31, 2024:

Particulars (in $ millions)AmountAmount
Cash and cash equivalents 896.47
Accounts receivable 480.00
Inventory 120.00
Prepaid insurance 20.00
Property, plant and equipment  
Less: Accumulated depreciation-40.00360.00
Plant and equipment600.00 
Less: Accumulated depreciation-120.00480.00
Patents 30.00
Lease asset 3.72
Treasury bill 18.00
Total Assets 2,408.20
Accounts payable 64.00
Salaries payable 0.00
Interest payable 66.46
Income tax payable 37.14
Deferred tax liabilities 20.00
Net pension benefit obligation 500.00
Lease liability 3.00
Bonds payable 666.00
Total liabilities 1,356.59
Shareholders’ equity  
Common stock34.4 
Paid-in-capital – Excess of par120.00 
Paid-in-capital – stock options1.00 
Paid-in-capital – repurchases9.00 
Retained earnings887.21 
Less: Treasury stock-20.001,031.61
Preferred stock 20.00
Total shareholders’ equity 1,051.61
Total liabilities and shareholders’equity 2,408.20

4. Cash Flow Statement for the year ended December 31, 2024:

Cash Flow Statement for the year ended December 31, 2024
Opening cash550
Accounts receivable240
Accounts payable-200
Cash purchase-256
Cash sales1,120
Salaries payable-360
Interest payable-20
Income tax payable-40
Lease payment-1.61
Treasury bill-18.00
Stock option5.40
Repurchase shares-4.50
Closing balance896

5. Statement of Shareholders’ equity for the year ended December 31, 2024:

 Preferred stockEquityRetained earningsTotal shareholder’s equity
Opening balance20.0030.00300.00350.00
Stock option 5.40 5.40
Issued shares 3.00 3.00
Repurchase -4.50-4.50-9.00
Equipment purchase 0.20 0.20
Reissued shares
Net income  591.41591.41


Al-Hashimy, H.N.H., 2022. A review of accounting manipulation and detection: technique and prevention methods. International Journal of Business and Management Invention11(10), pp.82-89.

Jasim, Y.A. and Raewf, M.B., 2020. Information technology’s impact on the accounting system. Cihan University-Erbil Journal of Humanities and Social Sciences4(1), pp.50-57.