9.6 For the year 2013, Katy (age 35) and Stefen (age 38), a married couple, reported the following items of income:

	Katy	Stefen	Total
Wages	$50,000	--	$50,000
Dividend Income	$2,000	$1,200	$3,200
Cash Won from Lottery	--	$500	$500
Total	$52,000	$1,700	$53,700

Katy is covered by a qualified plan. Stefen does not work, he makes wine and drinks all day. Assuming a joint return was filed for 2013, what is the maximum tax deductible amount that they can contribute to their IRAs? Please show work for full credit.

a. $2,500

b. $5,500

c. $7,500

d. $11,000