Kathy Is 60 Years of Age and Self-Employed

question 156

Multiple Choice

Kathy is 60 years of age and self-employed. During 2020 she reported $512,000 of revenues and $106,000 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?Assume she pays $27,600 in self-employment for 2020. (Round your final answer to the nearest whole number.)

• A)$57,000.
• B)$63,500.
• C)$78,440.
• D)$378,400.

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Assets, materials, or other valuables that are utilized to achieve goals or complete tasks.

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A strategy that guides activities within one specific area of operations.

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Individuals or organizations that purchase goods or services from a business.

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