Fred and Flossie Are Married and Their Adjusted Gross Income

question 26

Multiple Choice

Fred and Flossie are married and their adjusted gross income is $196,000.Both Fred and Flossie are active participants in their company's qualified pension plan and have never established an Individual Retirement Account.What is the maximum combined amount they can contribute to Roth IRAs?

• A)$- 0 -
• B)$2,000
• C)$5,500
• D)$8,000
• E)$11,000

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Definitions:

Appreciate

In finance, a term used to describe an increase in the value of an asset over time. In general usage, it can also mean to recognize the worth or value of something.

Currency Devaluation

A deliberate downward adjustment of a country's currency value relative to another currency, group of currencies, or standard.

Export Producers

businesses or individuals that produce goods or services for sale in foreign markets outside their own country.

Exports

Goods or services sent from one country to another for the purpose of trade.