Answered step by step

Verified Expert Solution

Link Copied!

Question

1 Approved Answer

Posted on May 08, 2022

2. Jon bought a $150,000 10-year term annuity using a non-registered savings account. The annuity is to be treated as a prescribed annuity and

2. Jon bought a $150,000 10-year term annuity using a non-registered savings account. The annuity is to be treated as a prescribed annuity and earns 5% annually. How much TOTAL tax will Jon have to pay on ALL 10 PAYMENTS if the marginal tax rate on interest is 40% and the average tax rate is 30% and he has $80,000 of other pension income? (3 marks)

Step by Step Solution

★★★★★

3.58 Rating (158 Votes )

There are 3 Steps involved in it

Step: 1

The total value of the annuity payments over 10 years is 150000 Since the ... blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

Step: 3

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Principles of heat transfer

Authors: Frank Kreith, Raj M. Manglik, Mark S. Bohn

7th Edition

495667706, 978-0495667704

More Books

Students also viewed these Accounting questions

Question

★★★★★

Is it possible for a lease to be treated as an operating lease for accounting purposes and as a non-tax lease for tax purposes?

Answered: 1 week ago

Question

★★★★★

The beam is to be cut longitudinally along both sides as shown. If it is made from a material having an allowable shear stress of tallow = 75 MPa, determine the maximum allowable shear force V that...

Answered: 1 week ago

Question

★★★★★

A spherical satellite circling the sun is to be maintained at a temperature of 25?C. The satellite rotates continuously and is covered partly with solar cells having a gray surface with an...

Answered: 1 week ago

Question

★★★★★

Smart Price Company, a producer of black forest cakes, has budgeted sales and production (in units) for the last quarter in 2019 to be as follows: Sales Production October November 26,000 28,000...

Answered: 1 week ago

Question

★★★★★

A random sample of companies was surveyed and asked to indicate if they had used an Internet career service site to search for prospective employees. The companies were also asked questions...

Answered: 1 week ago

Question

★★★★★

4. Performance measures (S29.2) Describe some alternative measures of a firms overall performance. What are their advantages and disadvantages? In each case, discuss what benchmarks you might use to...

Answered: 1 week ago

Question

★★★★★

2. Why should educators concern themselves with Abraham Maslows hierarchy of needs? A. The stages in students development might determine their ability to be successful in certain subjects. B. Social...

Answered: 1 week ago

Question

★★★★★

Wow! Is that R-92 model ever a loser! Its time to cut back its production and shift our resources toward the new T-95 model, said Graham Thomas, executive vice-president of Thomas Products Inc. Just...

Answered: 1 week ago

Question

★★★★★

[The following information applies to the questions displayed below.] For many years, Leno Corporation has used a straightforward cost-plus pricing system, marking its goods up approximately 25...

Answered: 1 week ago

Question

★★★★★

While self-reflection is an essential leadership behavior, you need to establish whether your view of yourself is consistent with those who you aspire to influence. A 360-degree perspective allows...

Answered: 1 week ago

Question

★★★★★

175 pts PERT differs from CPM in terms of ___________________. Group of answer choices cost estimates results human resources required time estimates

Answered: 1 week ago

Question

★★★★★

Jonathan Lark's lifelong dream is to own a restaurant. He owns a premium site for a restaurant across the street from the local university. Now he needs to decide what kind of restaurant to open....

Answered: 1 week ago

Question

★★★★★

What is the shift capacity of a machine with the following characteristics? ---Part processing time = 70 seconds ---cutting tool has to be replace every 35 pieces and it takes 30 seconds to replace...

Answered: 1 week ago

Question

★★★★★

_____________ phase includes consideration of the full scope of operational support, such as maintenance, supply, transportation, sustaining engineering, spectrum supportability, etc. A. Technology...

Answered: 1 week ago

Question

★★★★★

M1D5( Guest Reservations) 1-Discuss what the case Freeman v. Kiamesha Concord, Inc., teaches us with respect to contractual agreements between a hotel and a guest. 2-Discuss the damages a guest may...

Answered: 1 week ago

Question

★★★★★

Troy Engines, Limited, manufactures a variety of engines for use in heavy equipment. The company has always produced all of the parts for its engines, Including the carburetors. An outside supplier...

Answered: 1 week ago

Question

★★★★★

Exercise 11-10 (Algorithmic) (LO. 5) Myers, who is single, reports compensation income of $67,700 in 2018. He is an active participant in his employer's qualified retirement plan. Myers contributes...

Answered: 1 week ago

Question

★★★★★

MgO prevents premature evaporation of Al in a furnace by maintaining the aluminum as Al2O3. Another type of matrix modifier prevents loss of signal from the atom X that readily forms the molecular...

Answered: 1 week ago

Question

★★★★★

A 6 mm thick sheet of polished 304 stainless steel is suspended in a comparatively large vacuum-drying oven with black walls. The dimensions of the sheet are 30 cm x 30cm, and its specific heat is...

Answered: 1 week ago

Question

★★★★★

The Alaska Pipeline carries 2 million barrels per day of crude oil from Prudhoe Bay to Valdez covering a distance of 800 miles. The pipe diameter is 48 in. and it is insulated with 4 in. of...

Answered: 1 week ago

Question

★★★★★

A laboratory experiment has been performed to determine the natural-convection heat transfer correlation for a horizontal cylinder of elliptical cross section in air. The cylinder is 1 m long, has a...

Answered: 1 week ago

Question

★★★★★

Consider the partial resource-loading chart shown below. Suppose that you can commit a maximum of eight resource hours per day. a. What are the dates on which project resources are overallocated? b....

Answered: 1 week ago

Question

★★★★★

Construct the project activity network using AON methodology. Consider a project with the following information:

Answered: 1 week ago

Question

★★★★★

Referring to Figure 12.23, suppose you have the opportunity to hire two new carpenters to perform Georges tasks (shortening them by 50%). What would be the new projected completion date for the...

Answered: 1 week ago

Previous Question Next Question