If an Individual Makes a Withdrawal Prior to the Attainment

question 26

Multiple Choice

If an individual makes a withdrawal prior to the attainment of the age of 59½ from an IRA:

• A) It is subject to a 10 percent penalty
• B) The taxable amount is subject to a 10 percent penalty
• C) The nontaxable amount is subject to a 10 percent penalty
• D) The nontaxable amount withdrawn is subject to a 10 percent penalty
• E) The entire plan amount becomes taxable but the penalty is waived

---

Definitions:

Direct Marketing

A form of advertising where companies communicate directly with customers through various mediums, such as mail, email, or phone, without intermediaries.

Pretesting

The process of evaluating the effectiveness and potential impact of a marketing message or campaign before its full launch.

Marketing Communications

The various methods and channels companies use to communicate with their market and convey their marketing messages.

Decoded Properly

Correct interpretation or conversion of encoded or encrypted data into a readable format.