that she is 67 years old, how much of the annuity will be taxable?
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A: Working Note # 1 : P= Payment per period = BD 110 R= Rate of interest per period =2%/12 =…
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A: Savings Account is a deposit facility offered by commercial banks to their customer in which limited…
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A: Annuities are the uniform annual payments that are being paid over the period of time of annuity but…
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A: A tax- sheltered annuity is a type of investment vehicle that lets an employee make pretax…
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A: Quarterly deposits = $1423.62Future value = $85,000Period = 12 year
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A: NPER: yearsMonthly payments: Paid amount: Payment frequency: MonthlyTaxable income
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- Minnie owns a qualified annuity that cost 78,000. The annuity is to pay Minnie 650 per month for life after she reaches age 65. Minnie turns 65 on September 28, 2019, and receives her first payment on November 1, 2019. a. How much gross income does Minnie have from the annuity payments she receives in 2019? b. Shortly after receiving her payment on October 1, 2034, Minnie is killed in an automobile accident. How does the executor of Minnies estate account for the annuity on her return for the year 2034? c. Assume that the accident does not occur until November 1, 2043. How does the executor of Minnies estate account for the annuity on her 2043 return?Your grandmother left you an inheritance in the form of a trust. The trust agreement states that you are to receive R2 500 on the first day of each year, starting immediately and continuing for fifty years. What is the value of this inheritance today if the applicable discount rate is 6,20%? a. b. d. R66 811,30 R40 706,92 R39 942,42 R49 942,421. Louisa is 72 years old. She purchased an annuity in January of 2021 that will pay her $1,500 per month for the rest of her life. Louisa paid $200,000 for the annuity. What is the expected value of Louisa’s annuity? a. $18,000 b. $21,900 c. $200,000 d. $262,800 e. Not able to be determined from this information
- Please help meAnne purchased an annuity from an insurance company that promised to pay her $17,000 per year for the next 10 years. Anne paid $130,050 for the annuity, and in exchange she will receive $170,000 over the term of the annuity. Required: a. How much of the first $17,000 payment should Anne include in gross income? Note: Do not round intermediate calculations. b. How much income will Anne recognize over the term of the annuity?Anne purchased an annuity from an insurance company that promised to pay her $11,000 per year for the next 10 years. Anne paid $87,450 for the annuity, and in exchange she will receive $110,000 over the term of the annuity. a. How much of the first $11,000 payment should Anne include in gross income? (Do not round intermediate calculations.) b. How much income will Anne recognize over the term of the annuity?
- 11. Sandra Bellows 65 years old purchased an annuity for $25,000. Starting at the beginning of the year, Sandra will receive $200 per month. What is the total amount that Sandra can include in her gross income from her annuity this year, if multiplier is 15.0?On January 1, Alex received an inheritance of a thirty-year annuity. Starting on the day of the inheritance, the annuity pays $1,000 each January 1, $2,000 each April 1, $1,500 each July 1, and $5000 each October 1. (a) Using i = 5%, calculate the value of this inheritance on the day Alex inherits it. (Round your answer to the nearest cent.) $ (b) If the value on the day she inherits it is $140,000, find the annual effective rate i used to calculate this value to the nearest hundredth of a percent. %Christina will receive a 5-year annuity of $1,200 a year, with the first payment occurring at Date 4. What is the value of this annuity to her today at a discount rate of 7.25 percent? A. $4,111.08 B. $4,209.19 C. $4.774.04 D. $3,961.80 E. $4,887.48 The answer given is E, however, mine is D. Could you help me to explain this question?
- A taxpayer, age 64, purchases an annuity from an insurance company for $80,000. She is to receive $667 per month for life. Her life expectancy is 20.8 years from the annuity starting date. Assuming that she receives $8,000 this year, how much is included in her gross income? Round any percentages to two decimal places. Round the final answer for the income to the nearest dollar. Exclusion percentage: Included in income: LA %In 18 years, Maggie Beechwood is to receive $100,000 under the terms of a trust established by her grandparents. Assuming an interest rate of 5.7%, compounded continuously, what is the present value of Maggie's legacy? The present value of the legacy is $ (Round to the nearest cent as needed.)5. Jeri purchased an annuity contract for $18,600 ($50/month for 15.5 years). The contract began paying Jeri and Christina monthly payments of $200 in June 2022, when Jeri turned 65 and Christina was 59. The contract will continue to pay monthly payments while Jeri and Christina are living. How much income should they report on their 2022 tax return related to the annuity payments? $980 $1,400 $1,050 $0