Tessa Is a Self-Employed CPA Whose 2016 Net Earnings from Her

question 16

Multiple Choice

Tessa is a self-employed CPA whose 2016 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 2016?

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

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Definitions:

Plantar Flexion

A movement that occurs when the toes are pointed downward, decreasing the angle between the foot and the leg.

Eversion

The act of turning inside out or being turned inside out, often used in medical contexts to describe the movement of body parts.

Lateral Compartment

Refers to one of the compartments in the lower leg, containing muscles that are primarily responsible for eversion and plantarflexion of the foot.

Anterior

Refers to the front position or aspect of an organism or one of its parts.