Question
ACCOUNTING - Pension Plans Terrance is age 71 and retired. Beginning in 2015, he must start taking minimum distributions from his IRA account that had
ACCOUNTING - Pension Plans
Terrance is age 71 and retired. Beginning in 2015, he must start taking minimum distributions from his IRA account that had a balance of $110,000 as of December 31, 2014. Make these three assumptions: his IRA will earn 8% per year; he will withdraw the minimum distribution on the last day of each calendar year, and only one distribution will be taken in 2015. Calculate the amount of his distribution for years 2015 through 2019 and the ending balance in his IRA account on December 31, 2019. Use Table I, Table III and Table V. (Do not round "Applicable Life Expectancy" answers. Round other answers to nearest whole dollar value. Use these answers in subsequent computations.)
| Year | IRA Bal. at end of the Prior Year | Applicable Life Expectancy | Required Distribution | IRA Earnings | Ending Bal |
| 2015 | |||||
| 2016 | |||||
| 2017 | |||||
| 2018 | |||||
| 2019 |
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