Realizing That Providing for a Comfortable Retirement Is Up to Them

question 37

Multiple Choice

Realizing that providing for a comfortable retirement is up to them, Jim and Julie commit to making regular contributions to their IRAs, beginning this year.Consequently, they each make a $2,000 contribution to their traditional IRA.If their AGI is $35,000 on their joint return, what is the amount of their credit for certain retirement plan contributions?

• A)$800.
• B)$600.
• C)$400.
• D)$200.
• E)None of the above.

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Definitions:

Capital Goods

Long-lasting goods used in the production of other goods or services, such as machinery, buildings, and equipment.

Consumer Goods

Products that are purchased for consumption by the average consumer.

Capital Goods

Long-lasting goods that are used in the production of other goods or services, such as buildings, machinery, and equipment.

Consumer Goods

Products that are sold directly to consumers for their personal or household use, typically including items like electronics, appliances, and clothing.