Feng,a Single 40 Year Old Lawyer,is Covered by a Qualified

question 112

Multiple Choice

Feng,a single 40 year old lawyer,is covered by a qualified retirement at work. His salary is $109,000,and his total AGI is $123,000. The maximum contribution he can make to a Roth IRA in 2014 is

• A)0)
• B)$3,300.
• C)$2,200.
• D)$5,500.

---

Definitions:

Principal

The initial sum of money borrowed in a loan or put into an investment, exclusive of any interest or dividends.

Student Loans

Loans offered to students to help cover post-secondary education expenses, which typically have favorable interest rates compared to other types of loans.

Annual Simple Interest Rate

The percentage of interest, calculated on a yearly basis, that does not account for compounding within that year.

Loan Balance

The remaining amount of money owed on a loan, excluding interest, at any given time.