In 2018, Rashaun (62 years old) retired and planned on immediately receiving distributions (making withdrawals) from his traditional IRA account.The balance of his IRA account is $160,000 (before reducing it for withdrawals/distributions described below).Over the years, Rashaun has contributed $40,000 to the IRA.Of his $40,000 contributions, $30,000 was nondeductible and $10,000 was deductible.Assume Rashaun did not make any contributions to the account in 2018.

a. If Rashaun currently withdraws $20,000 from the IRA, how much tax will he be required to pay on the withdrawal if his marginal tax rate is 24 percent?

b. If Rashaun currently withdraws $70,000 from the IRA, how much tax will he be required to pay on the withdrawal if his marginal tax rate is 28 percent?

c. {Forms} Using the information provided in part b, complete Form 8606, Part I to report the taxable portion of the $70,000 distribution (withdrawal).Use the most current form available.