CFA Pension Reading 22 Question #9 understand, financing, question, benefit, between

Wasteoftime

hi,
I don’t understand how to do this question at all. The $1,050 Net periodic benefit Cost needs to be reconciled between Net Income and CFO.
First of all, why is the $1,050 a non-cash expense?
Second, I understand that the excess contribution needs to be a financing CF instead of an operating cash flow, but I thought that was the excess over the ECONOMIC pension cost, not the stated pension cost per the P/L statement.
Please explain this reconciliation between net income and CFO.
Thanks