Question

8- please explain provide examples Using the simplified method, determine the tax-free amount of the following...

8- please explain provide examples

Using the simplified method, determine the tax-free amount of the following distributions from a qualified pension plan. Contributions, if any, are made with previously-taxed dollars. Use monthly payments table.

  1. Person A, age 52, made no contributions to the pension plan and will receive a $650 monthly check for life.
  2. Person B, age 57, made contributions of $24,500 to the pension plan and will receive a monthly check of $1,600 for life. (Round your answers to 2 decimal places.)
  3. Person C, age 62, made contributions of $17,000 to the pension plan and will receive monthly payments of $1,200 over her life and the life of her 65-year-old husband. (Round your answers to 2 decimal places.)
  4. Person D, age 57, made contributions of $30,000 to the pension plan. He will receive quarterly payments of $4,200 over his life and the life of his 59-year-old wife. (Round your answers to 2 decimal places.)

Answer is complete but not entirely correct.

a. Tax free portion $0selected answer correct
b. Tax free portion $79.03selected answer correct
c. Tax free portion $54.00selected answer incorrect
c. Tax free portion $83.00selected answer incorrect
Business   Accounting   
0 0
Add a commentTranscribed image text
Next >

Homework Answers

Answer #1

0 0
Know the answer?
Your Answer:

Post as a guest

Your Name:

What's your source?

Earn Coins

Coins can be redeemed for fabulous gifts.

Log In

Sign Up

Not the answer you're looking for?
Ask your own homework help question
Similar Questions
If possible, please explain how to do using a Ti-84 calculator, or workout all calculations. In...
If possible, please explain how to do using a Ti-84 calculator, or workout all calculations. In the following problem, check that it is appropriate to use the normal approximation to the binomial. Then use the normal distribution to estimate the requested probabilities. What are the chances that a person who is murdered actually knew the murderer? The answer to this question explains why a lot of police detective work begins with relatives and friends of the victim! About 62% of...
In the problem below, I get the following answers: a. 1.125 people b. 1.875 person c....
In the problem below, I get the following answers: a. 1.125 people b. 1.875 person c. 0.3800 hours d. 0.6300 hours When I check my work a and b are correct, but c and d are not. I do not understand why this is not correct. I am following the format to solve the problem. Please help determine the correct answers for c and d. Thanks jM Problem 7-18 (Algo) To support National Heart Week, the Heart Association plans to...
1. In the following ordinary annuity, the interest is compounded with each payment, and the payment...
1. In the following ordinary annuity, the interest is compounded with each payment, and the payment is made at the end of the compounding period. Find the amount of time needed for the sinking fund to reach the given accumulated amount. (Round your answer to two decimal places.) $215 monthly at 5.8% to accumulate $25,000 Please provide number of years: 2. In the following ordinary annuity, the interest is compounded with each payment, and the payment is made at the...
The required data is: Information on Janicek Power Co., is shown below. Assume the company’s tax...
The required data is: Information on Janicek Power Co., is shown below. Assume the company’s tax rate is 35 percent. Debt: 8,500 7.2 percent coupon bonds outstanding, $1,000 par value, 25 years to maturity, selling for 118 percent of par; the bonds make semiannual payments.         Common stock: 225,000 shares outstanding, selling for $87 per share; beta is 1.15.         Preferred stock: 15,000 shares of 4.8 percent preferred stock outstanding, currently selling for $98 per share.        ...
Note: This problem is for the 2018 tax year. Lance H. and Wanda B. Dean are...
Note: This problem is for the 2018 tax year. Lance H. and Wanda B. Dean are married and live at 431 Yucca Drive, Santa Fe, NM 87501. Lance works for the convention bureau of the local Chamber of Commerce, while Wanda is employed part-time as a paralegal for a law firm. During 2018, the Deans had the following receipts: Salaries ($60,000 for Lance, $41,000 for Wanda) $101,000 Interest income— City of Albuquerque general purpose bonds $1,000 Ford Motor company bonds...
Note: This problem is for the 2018 tax year. Lance H. and Wanda B. Dean are...
Note: This problem is for the 2018 tax year. Lance H. and Wanda B. Dean are married and live at 431 Yucca Drive, Santa Fe, NM 87501. Lance works for the convention bureau of the local Chamber of Commerce, while Wanda is employed part-time as a paralegal for a law firm. During 2018, the Deans had the following receipts: Salaries ($60,000 for Lance, $41,000 for Wanda) $101,000 Interest income—    City of Albuquerque general purpose bonds $1,000    Ford Motor company bonds...
Note: This problem is for the 2018 tax year. Lance H. and Wanda B. Dean are...
Note: This problem is for the 2018 tax year. Lance H. and Wanda B. Dean are married and live at 431 Yucca Drive, Santa Fe, NM 87501. Lance works for the convention bureau of the local Chamber of Commerce, and Wanda is employed part-time as a paralegal for a law firm. During 2018, the Deans recorded the following receipts. Salaries ($60,000 for Lance, $46,000 for Wanda) $106,000 Interest income— City of Albuquerque general purpose bonds $1000 Ford Motor Company bonds...
Kristen Lu purchased a used automobile for $16,750 at the beginning of last year and incurred...
Kristen Lu purchased a used automobile for $16,750 at the beginning of last year and incurred the following operating costs: Depreciation ($16,750 ÷ 5 years) $ 3,350 Insurance $ 1,700 Garage rent $ 900 Automobile tax and license $ 450 Variable operating cost $ 0.05 per mile The variable operating cost consists of gasoline, oil, tires, maintenance, and repairs. Kristen estimates that, at her current rate of usage, the car will have zero resale value in five years, so the...
This problem is for the 2018 tax year. Roberta Santos, age 41, is single and lives...
This problem is for the 2018 tax year. Roberta Santos, age 41, is single and lives at 120 Sanborne Avenue, Springfield, IL 60781. Her Social Security number is 123-45-6780. Roberta has been divorced from her former husband, Wayne, for three years. She has a son, Jason, who is 17, and a daughter, June, who is 18. Jason's Social Security number is 111-11-1112, and June's is 123-45-6788. Roberta does not want to contribute $3 to the Presidential Election Campaign Fund. Roberta,...
Note: This problem is for the 2018 tax year. Roberta Santos, age 41, is single and...
Note: This problem is for the 2018 tax year. Roberta Santos, age 41, is single and lives at 120 Sanborne Avenue, Springfield, IL 60781. Her Social Security number is 123-45-6789. Roberta has been divorced from her former husband, Wayne, for three years. She has a son, Jason, who is 17, and a daughter, June, who is 18. Jason's Social Security number is 111-11-1112, and June's is 123-45-6788. Roberta does not want to contribute $3 to the Presidential Election Campaign Fund....
ADVERTISEMENT
Need Online Homework Help?

Get Answers For Free
Most questions answered within 1 hours.

Ask a Question
ADVERTISEMENT