Logo
Home Study Material Contact Search
AI Chat FREE
  1. business
  2. accounting
  3. melanie was 74 years old on january 1st of this ye

Melanie was 74 years old on January 1St of this year and her husband was...

90.2K

Verified Solution

Question

Accounting

Melanie was 74 years old on January 1St of this year and her husband was 71 years of age. She is having difficulty remembering details. She recalls establishing her LIF in 1991 and electing to base the minimum withdrawal amount on the age of her husband. Her LIF is a qualifying RRIF. On January 1St of this year, she had $64,000 in her LIF and she withdrew $3,048. She is wondering if she has made a mistake. Which of the following statements is true?

O a) Melanie will have to convert her LIF to a life annuity before the end of this year because her husband

has turned 71 years of age.

b) Melanie should have converted her LIF to a life annuity before the end of the year in which she turned 71 years of age because the minimum withdrawal of a LIF must be based on the age of the annuitant.

O c) The minimum amount that Melanie should have withdrawn this year is $4,000.

O d) Melanie is doing just fine and did not make any errors.

Answer & Explanation Solved by verified expert
Get Answers to Unlimited Questions

Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!

Membership Benefits:
  • Unlimited Question Access with detailed Answers
  • Zin AI - 3 Million Words
  • 10 Dall-E 3 Images
  • 20 Plot Generations
  • Conversation with Dialogue Memory
  • No Ads, Ever!
  • Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!
Become a Member

Other questions asked by students

Basic Math
1.2K views

A trucking company would like to compare two different routes for efficiency. Truckers are randomly assigned...

Biology
1.2K views

The brown anole Anolis sagrei is an invasive species found in the southeastern United States...

Physics
1.2K views

15 A uniform conductor of resistance R is cut into 20 equal parts Half of...

Physics
1.2K views

A string of negligible mass going over a clamped pulley of mass m supports a...

Calculus
1.2K views

a What frequency is received by a person watching an oncoming ambulance moving at 29...

Accounting
1.2K views

Perez planned to make and sell 36,000 copies...

Accounting
1.2K views

The client, a shareholder in a corporation, believes that the corporation exceeded its authority when...

Accounting
1.2K views

Yellow Company's variable expenses are 20% of sales and have monthly fixed expenses of $6,000....

Accounting
1.2K views

Fletcher Company collected the following data regarding production of one of its products. Compute the...

Accounting
1.2K views

Tim and Vito are about to liquidate their partnership. They each have $20,000 capital balances,...

Accounting
1.2K views

5. The Viking Manufacturing Company produces products A, B, and C. Although Justin could sell...

Accounting
1.2K views

Intask Corporation uses the FIFO method in its process costing system. Beginning inventory in the...