How Much You Can Contribute to Your RRSP Depends on Your

question 40

Multiple Choice

How much you can contribute to your RRSP depends on your

• A)earned income from the current year.
• B)tax bracket and previous contributions.
• C)accumulated room and the performance of your RRSP holdings.
• D)earned income and pension adjustments from previous years.

---

Definitions:

Cash Dividend

A cash distribution of earnings by a corporation to its shareholders.

Financing Activities

These activities relate to changes in the size and composition of the equity and borrowings of an entity, reported in the statement of cash flows.

Retirement

The act of leaving one's job and ceasing to work, often due to age, after a career of service, with financial support through savings, investments, or pensions.

Long-Term Note

A debt security with a maturity of more than one year, used by businesses and governments to borrow money.