Mary retired from her job on January 1 and will recieve monthly pension benefits of $2000 per month. She has contributed to her pension plan over the many years and her basis in the plan is $172800. Her life expectancy based on IRS mortality tables is 18 years. in year 1, Mary receives 12 monthly checks from here pension plan. How much must mary include in her gross income in year 1? a) 14400 b) 24000 c) 9600 d) 0.
Mary retired from her job on January 1 and will recieve monthly pension benefits of $2000 per month. She has contributed to her pension plan over the many years and her basis in the plan is $172800. Her life expectancy based on IRS mortality tables is 18 years. in year 1, Mary receives 12 monthly checks from here pension plan. How much must mary include in her gross income in year 1? a) 14400 b) 24000 c) 9600 d) 0.
Chapter4: Gross Income: Concepts And Inclusions
Section: Chapter Questions
Problem 52P
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general accounting final
Transcribed Image Text:Mary retired from her job on January 1 and will
recieve monthly pension benefits of $2000 per
month. She has contributed to her pension plan over
the many years and her basis in the plan
is $172800. Her life expectancy based
on IRS mortality tables is 18 years. in year 1,
Mary receives 12 monthly checks from here
pension plan. How much must mary include in her
gross income in year 1?
a) 14400
b) 24000
c) 9600
d) 0.
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