1. Ralph has a $130,000 IRA with Red Investments. For personal reasons, he decides to move his funds to Blue Investments. He requests that his funds be distributed to him on August 20, 2020.

a. What amount will Ralph receive from Red Investments?

b. If the funds were distributed from a qualified retirement plan (not an IRA), how much would Ralph receive?

2. The Foemina Corporation has two employees, Nancy and Penny. Assume Foemina does not defer payroll tax payments or claim employee retention credits or sick and family leave credits.

If Penny earns wages of $145,000 for 2020, calculate the total amount of the FICA tax that must be paid by Foemina Corporation on behalf of Penny. (Rounded to the nearest dollar)