Which of the Following Statements Is Incorrect

question 93

Multiple Choice

Which of the following statements is incorrect?

• A)Roth IRA distributions are never taxable.
• B)Taxpayers can roll over plan assets from one plan to another tax-free if certain rules are followed.
• C)If distributions from a Coverdell Education Savings Account are used for qualified education expenses,the distributions are tax-free.
• D)For traditional IRA distributions,the date on which minimum payments must begin is April 1 of the calendar year following the year in which the taxpayer reaches age 70½.

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Definitions:

Goods and Services

The products and activities offered by businesses to satisfy economic needs or wants; goods are tangible items, while services are intangible acts or performances.

Factors of Production

Resources used in the production of goods and services, typically categorized into land, labor, capital, and entrepreneurship.

Households

Economic units consisting of all the people who occupy a housing unit, making decisions about resource allocation, consumption, and labor supply.

Goods and Services

Physical items (goods) and intangible benefits (services) that fulfill human wants or needs.