Tessa Is a Self-Employed CPA Whose 2015 Net Earnings from Her

question 33

Multiple Choice

Tessa is a self-employed CPA whose 2015 net earnings from her business (before the H.R.10 plan contribution but after the deduction for one-half of self-employment taxes) is $400,000.What is the maximum contribution that Tessa can make on her behalf to her H.R.10 (Keogh) plan in 2015?

• A)$100,000
• B)$80,000
• C)$66,250
• D)$53,000

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Definitions:

High Winds

Strong and often damaging air currents that move at high speeds.

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The destruction and harm caused by an excess of water overflowing onto land that is normally dry.

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Trees that have been forcefully removed from the soil entirely, often due to natural disasters like storms or human activities.