Heather, Age 48, Is the Sole Remaining Participant of a Money

question 82

Multiple Choice

Heather, age 48, is the sole remaining participant of a money purchase pension plan. The plan is terminated and a $240,000 taxable distribution is made to Heather. The early distribution penalty tax, if any, for 2017 is:

• A)$0.
• B)$12,000.
• C)$24,000.
• D)$30,000.
• E)None of the above.

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Definitions:

Identity Status

Refers to the four stages of identity development proposed by James Marcia, including achievement, moratorium, foreclosure, and diffusion.

Identity Achievement

A stage in identity development where an individual has explored various options and made deliberate choices, resulting in a sense of self.

Identity Moratorium

A phase in Erik Erickson's theory of psychosocial development where an individual is actively exploring and questioning various personal identities but has not yet committed to one.

Formal Operational Stage

The final stage of cognitive development (around age 12 onwards), according to Jean Piaget, marked by the ability to think abstractly and logically.