25. John withdrew $16,000 from a 529 plan for his 12-year-old son, John Jr. John Jr. is in 6th grade and attends a private middle school. Assuming that the $16,000 is all earnings in the 529 plan, how much of the distribution would be considered taxable income? a. $6,000 b. $16,000 c. $0 d. $8000

25. John withdrew $16,000 from a 529 plan for his 12-year-old son, John Jr. John Jr. is in 6th grade and attends a private middle school. Assuming that the $16,000 is all earnings in the 529 plan, how much of the distribution would be considered taxable income? a. $6,000 b. $16,000 c. $0 d. $8000

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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Question

25. John withdrew $16,000 from a 529 plan for his 12-year-old son, John Jr. John Jr. is in 6th grade and attends a private
middle school. Assuming that the $16,000 is all earnings in the 529 plan, how much of the distribution would be
considered taxable income?
a. $6,000
b. $16,000
c. $0
d. $8000

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