An Event That Prompts an Individual to Become an Entrepreneur

question 73

Multiple Choice

An event that prompts an individual to become an entrepreneur, such as losing a job, inheriting money, or accommodating a certain lifestyle, is referred to as a(n) ________.

• A) prompting event
• B) entrepreneurial prompt
• C) initiating event
• D) triggering event
• E) kick-off event

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Definitions:

Pension Plan

A type of retirement plan that typically provides retirees with a fixed payout upon retirement, funded by employer, employee contributions, or both during their employment years.

Coverdell Education

A savings account designed specifically for paying education expenses, with tax advantages, for a designated beneficiary.

AGI

Adjusted Gross Income, which is the total gross income minus specific deductions allowable by the IRS, forming the basis for calculating taxable income.

Maximum Contribution

Maximum Contribution refers to the highest amount that an individual or entity can contribute to a retirement plan or investment vehicle in a given year.