Pierre Retired in 2016 at Age 62

question 88

Multiple Choice

Pierre retired in 2016 at age 62.During the year he received distributions of $27,000 from his IRA.He made nondeductible contributions of $60,000 to the IRA in prior years and has never received a nontaxable distribution.As of December 31,2016,the value of his IRA was $450,000.Calculate the taxable portion of Pierre's distribution.

• A)$23,400.
• B)$3,396.
• C)$23,604.
• D)$3,600.

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Definitions:

Deflect Attention

A method of avoiding focus or scrutiny by redirecting it towards something else.

Emotional Intelligence

The capacity to be aware of, control, and express one's emotions, and to handle interpersonal relationships judiciously and empathetically.

Compromise

A compromise is an agreement or settlement of a dispute that is reached by each side making concessions.

Communication

The exchange of information, thoughts, messages, or emotions between individuals or groups through various means, including speaking, writing, or using common symbols.