Pension Accounting

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10-7

  The basic financial statements of a pension plan provide only limited amounts of information as to its economic condition. The following information relates to the Lincoln County Firefighters’ Pension Plan (dollar amounts in millions):

Beginning-of-Year Balances

Cash and cash equivalents, January 1                         $ 67

Marketable securities and other

investments at fair value, January 1                          3,180

Current liabilities to retirees, January 1                           4

Actuarial accrued liability, January 1                        3,430

Transactions during the Year

Contributions received during the year

from employers and employees                                     138

Benefits to which retirees were entitled during

the year                                                                           120

Benefits actually paid to retirees, including

amounts owed from prior year                                       122

Interest and dividends

earned during the year                                                   145

Net appreciation in fair value of marketable

securities and other investments (i.e., realized

and unrealized gains) during the year                              36

Investment and administrative expenses                          45

End-of-Year Balances

Cash on hand, December                                            31 92

Marketable securities and other

investments at fair value, December 31                     3,307

Current liabilities to retirees, December 31                      2

Actuarial accrued liability, December 31                  3,690