Kathy Is 48 Years of Age and Self-Employed

question 34

Multiple Choice

Kathy is 48 years of age and self-employed. During 2020 she reported $100,000 of revenues and $40,000 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 a SEP IRA for 2020? (Round your final answer to the nearest whole number.)

• A)$11,152.
• B)$17,152.
• C)$63,500.
• D)$57,000.

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Definitions:

Interference

A phenomenon where previously learned information hinders the ability to learn new information, often explored within the context of memory research.

Mnemonic Device

A memory aid or strategy that makes information easier to remember.

Proactive Interference

The tendency for older or previously learned material to impede the recall of newer material.

Serial Reproduction

A method of studying memory where information is passed and reproduced through a chain of individuals.