Final Exam > Results Page
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Final Exam > Question 1
A fiscal year may end on any of the following dates except:
March 31
June 30
September 30
December 31
Final Exam > Question 2
Jim Meyers sold land on the installment basis, realizing a gain in 2015 of $50,000. Due to large stock losses, he wants to report the entire gain on his 2015 return. To do so:
He must elect out of installment reporting by including all of the gain on the 2015 return.
He must check a box on Form 1040.
He does not have to do anything; installment reporting applies only if so elected.
He must file a request with the IRS to report all the gain in 2015.
Final Exam > Question 3
For 2015, what is the maximum elective deferral that an individual under age 50 may make as a contribution to a SIMPLE plan?
$3,000
$6,000
$12,500
$18,000
Final Exam > Question 4
The compensation limit taken into account in figuring employer non-elective contributions under qualified SIMPLE retirement plans for 2015 is:
$12,500
$15,500
$260,000
$265,000
Final Exam > Question 5
Leo Thompson, who is single, participates in his company’s 401(k) plan. His adjusted gross income for 2015 is $75,000. He may
Make deductible contributions to a deductible IRA or to a Roth IRA
Make contributions to a Roth IRA, but not to a deductible IRA
Not make contributions to a deductible IRA or to a Roth IRA
Make contributions to both a deductible IRA and a Roth IRA
Final Exam > Question 6
Which statement regarding required minimum distributions in 2015 is correct?
A beneficiary who inherited an IRA in 2012 and has been taking annual RMDs does not have to take any in 2015.
The suspension of the RMD rules applies in 2015.
Someone who turned age 70-1/2 in 2015 can postpone the first RMD until April 1, 2016.
A taxpayer can use whichever IRS table results in the lowest RMD.
Final Exam > Question 7
A taxpayer, age 45, may avoid the 10% early distribution penalty on IRA withdrawals in all of the following situations except:
Disability
Financial hardship
Using withdrawals to pay first-time home buying costs (up to $10,000)
Education costs
Final Exam > Question 8
Myrtle Thomas, age 68, works, while her 69-year-old husband, Bill, is retired (assume that she does not participate in a qualified retirement plan at work). Her annual salary is $80,000. What is the maximum amount she can contribute into IRA accounts for 2015?
$5,500 for her own account
$6,500 for her own account
$5,500 for her own account plus $5,500 for Bill’s account
$6,500 for her own account plus $6,500 for Bill’s account
Final Exam > Question 9
A SEP plan for a self-employed individual for 2015 may be set up as late as:
October 1, 2015
December 31, 2015
April 18, 2016
October 15, 2016 (assuming the taxpayer obtained a filing extension)
Final Exam > Question 10
The maximum deductible contribution to a profit-sharing plan by a self-employed person in 2015 is:
$18,000
$24,000
$53,000
$210,000
Final Exam > Question 11
In 2015, the most modified AGI that a single individual can have and still be eligible to convert a traditional IRA to a Roth IRA is:
$100,000
$116,000
$183,000
No limit
Final Exam > Question 12
A beneficiary inherits an IRA from her father as the sole designated beneficiary of that IRA. In figuring required minimum distribution for 2015, which IRS table is used?
Single Life Table
Uniform Lifetime Table
Joint and Last Survivor Table
Final Exam > Question 13
The tax penalty for an insufficient required minimum distribution is:
6%
10%
20%
50%
Final Exam > Question 14
Which of the following statements concerning rollovers from one IRA to another IRA is not correct?
There is a 60-day rollover period.
They are subject to a 20% withholding tax if transferred via direct rollover into another IRA.
Surviving spouses can roll over inherited accounts into their own IRA.
Only one rollover is allowed within a 12-month period.
Final Exam > Question 15
A sole proprietor sets up a SIMPLE plan for 2015 and adopts the 3% matching contribution. Assume his net earnings for the year are $30,000. What is the required matching contribution?
$270
$600
$900
$2,500
Final Exam > Question 16
Estimated taxes must include which of the following?
Alternative minimum taxes
Household employment taxes
Self-employment tax
All of the above
Final Exam > Question 17
There is no estimated tax penalty if liability is less than:
$1,000
$1,500
$2,500
$5,000
Final Exam > Question 18
Taxpayers can avoid making estimated tax payments by opting to have taxes withheld on:
Capital gains
Interest income
Social Security benefits
State income tax refunds
Final Exam > Question 19
Which statement concerning estimated taxes for spouses is correct?
They must file estimated taxes jointly if they file their return jointly.
They must file separate estimated taxes even if they file their return jointly.
They must file federal estimated taxes in the same way in which they file state estimated taxes
They can file estimated taxes without regard to how they file their return.
Final Exam > Question 20
The wage threshold for Social Security and Medicare taxes for a household employee in 2015 is:
$1,800 or more in a year
$1,900 or more a year
$1,000 or more in a year
Zero: all earnings are subject to Social Security and Medicare taxes for a household employee up to the Social Security wage base