Bang Nguyen recently graduated from college and started working in a good job. He has a little money invested in a stock that pays no dividends. He lives in an apartment, is single, and has no dependents. He has a $22,000 student loan balance and he paid $600 interest in 2011. He is considering going back to school part-time for some additional computer classes. He does not have a personal IRA and he contributed 2% of his $38,750 salary to his 401K plan at work for 2011. He is just completing his tax return for 2011. Based on the information below, answer the following questions.

-What is Bang's gross income for 2011?

Question

Bang Nguyen recently graduated from college and started working in a good job. He has a little money invested in a stock that pays no dividends. He lives in an apartment, is single, and has no dependents. He has a $22,000 student loan balance and he paid $600 interest in 2011. He is considering going back to school part-time for some additional computer classes. He does not have a personal IRA and he contributed 2% of his $38,750 salary to his 401K plan at work for 2011. He is just completing his tax return for 2011. Based on the information below, answer the following questions.
 
-What is Bang's gross income for 2011?

Quizplus · Accepted Answer

Bang's salary is given as $38,750, so his gross income for 2011 is $38,750.

Answer: B
 Bang should consider opening a personal IRA to save for retirement, as he does not currently have one. He may also want to consider increasing his contribution to his 401K plan at work, as contributing only 2% may not be enough for long-term savings. However, without more information about his financial goals and priorities, it is difficult to make specific recommendations.

Bang Nguyen Recently Graduated from College and Started Working in a Good