Question

PLEASE HELP..
Yon made contributions to a Traditional IRA over the course of 35 working years. Her contributions averaged $2,000 annually. Yon was in the 28% tax bracket during her working years. The average annual rate of return on the account was 6%. Upon retirement, Yon stopped working and making IRA contributions. Instead, she started living on withdrawals from the retirement account. At this point, Yon dropped into the 15% tax bracket. Factoring in taxes, what is the effective value of Yon’s Traditional IRA at retirement? Assume annual compounding.

$160,466.08

$189,439.13

$193,893.01

$217,772.46

Answer 1

@1234k123a12l1i

Answer 2

1) This is an utterly silly question.

A) 2000 2000 2000 2000 2000 - Average 2000
B) 200 200 200 200 9200 - Average 2000
C) 10000 0 0 0 0 - Average 2000

Where does that leave us?

Answer 3

it leaves us with D.