Kathy Is 48 Years of Age and Self-Employed

question 70

Multiple Choice

Kathy is 48 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) ?

• A)$57,000.
• B)$63,500.
• C)$77,221.
• D)$19,500.

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Definitions:

Coercion

The act of persuading someone to do something by forcing or threatening them.

Subordinates

Individuals who are under the authority and direction of a higher-ranking manager or leader within an organization.

Illegal Activities

Actions or conduct that are forbidden by law and subject to criminal penalties or sanctions.

Ingratiation

A psychological technique wherein an individual attempts to become more attractive or likable to their target, often through flattery or other acts of kindness.