FIN 420 WEEK 5 Week 5 Quiz

FIN 420 WEEK 5 Week 5 Quiz Buy Solutions: https://goo.gl/aWMsNE FIN 420 WEEK 5 Week 5 Quiz FIN 420 WEEK 5 Week 5 Quiz FIN 420 WEEK 5 Week 5 Quiz FIN/420 Week 5 Quiz 1. Early retirement from an employer would be most beneficial for a person expecting to live longer than the average life expectancy. • True • False 2. A tax that requires a higher-income person to pay a higher percentage of his or her income in taxes is called a ____ tax. • progressive • regressive • proportional • marginal 3. An irrevocable trust cannot be changed or undone by the grantor during his or her lifetime. • True • False 4. Which of the following persons is (are) practicing tax avoidance? • Bartender who does not report all his tips • Plumber who does not report a barter transaction • Employee who deducts qualifying job-related expenses • All of these 5. Having your employer withhold more in estimated taxes than the likely tax liability ultimately due the government is a recommended technique for saving money. • True • False 6. People who start saving and investing for retirement during their twenties should aim to reserve ____ percent of their pretax income every year. • 9 to 11 • 12 to 15 • 16 to 18 • 19 to 22 7. The casualty or theft loss is difficult to qualify for because the loss must • be unreimbursed. • exceed 10 percent of adjusted gross income plus $100. • be in cash rather than property. • be unreimbursed and exceed 10 percent of adjusted gross income plus $100. 8. Joe and Marcia, a married couple with three young children, have a gross income of $120,000, adjustments of $6,700, and itemized deductions totaling $16,900. If personal exemptions for the year are $3,700 each and the standard deduction is $11,600 for married couples, what is Joe and Maria’s taxable income if they file jointly? • $66,300 • $77,900 • $81,600 • $83,400 9. Personal income taxes are paid only on your taxable income. • True • False 10. To qualify for the earned income credit, taxpayers must have earned income. • True • False V012618 FIN 420 WEEK 5 Week 5 Quiz