Thomas Maintains an IRA Account

question 38

Multiple Choice

Thomas maintains an IRA account.During the year he wins $10,000 in the state lottery and contributes it to his IRA account.Because he is an active participant in a qualified pension plan,he does not take a deduction for any part of his contribution.At the end of 2017 the total assets in the account are $30,000.Thomas is subject to a penalty on his contribution of

• A)$-0-
• B)$180
• C)$270
• D)$1,000
• E)$1,800

Grasp the concept of investment strategies such as dollar-cost averaging.

Recognize the importance and procedure of proxy voting.

Understand the fundamentals of equity financing for corporations.

Identify the categories of stocks based on company size or investor's strategy.

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Definitions:

Satisfaction

The feeling of contentment or fulfillment resulting from achieving one's desires, expectations, or needs.

Disfranchised

Individuals or groups deprived of certain rights or privileges, often used in the context of voting rights.

Systematically

Performing actions or procedures in a methodical, organized manner according to a specified system or plan.

Procedural Elements

The structured components or steps that make up a process, governing how something is to be done.