Kathy Is 60 Years of Age and Self-Employed

question 14

Multiple Choice

Kathy is 60 years of age and self-employed. During 2020, she reported $500,000 of revenues and $100,000 of expenses relating to her self-employment activities. If Kathy has no other retirement accounts in her name, what is the maximum amount she can contribute to an individual 401(k) for 2020? Assume she pays $27,787 in self-employment for 2020. (Round your final answer to the nearest whole number.)

• A)$57,000.
• B)$63,500.
• C)$96,721.
• D)$77,221.

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Definitions:

Edward Titchener

A British psychologist who founded structuralism, a school of thought aimed at analyzing the adult mind in terms of the simplest definable components.

Functionalism

A theoretical perspective that views society as a complex system whose parts work together to promote stability and integration.

Empiricism

The theory that all knowledge is derived from sense-experience and observation.

Scientific Methods

Systematic, empirical methods of investigation aimed at discovering, interpreting, and revising factual knowledge.