Determine the postretirement benefit expense for 2011.

E 17-27 Postretirement benefits; components of postretirement benefit expenseData pertaining to the postretirement health care benefit plan of Sterling Properties include the following for 2011:

Service cost 124
Accumulated postretirement benefit obligation, Jan 1 700
Prior service cost AOCI 50
Prior service cost AOCI none
Net gain AOCI (2011 amort, 1) 91
retiree benefits paid (end of year) 87
contribution to health care benefit fund (end of year) 185
Discount rate 7%

Required:
1. Determine the postretirement benefit expense for 2011.
2.
Prepare the appropriate journal entries to record the postretirement
benefit expense, funding, and retiree benefits for 2011.