Chelsea is an employee of Avondale Company.Chelsea's adjusted gross income for the current year is $66,000.Chelsea would like to make the maximum contribution to her individual retirement account this year.Which of the following statements about Chelsea's contribution and deduction amounts is (are)true?
I.If Chelsea is single and is covered by a qualified pension plan,she is allowed to contribute $5,500 to her IRA account,but she is allowed a deduction for only $3,300 of the contribution because her adjusted gross income is greater than $62,000.
II.If Chelsea is married and covered by a qualified pension plan and her husband does not work,they can contribute and deduct $5,500 to two separate IRA accounts (one for herself and one for her husband).

Question

Chelsea is an employee of Avondale Company.Chelsea's adjusted gross income for the current year is $66,000.Chelsea would like to make the maximum contribution to her individual retirement account this year.Which of the following statements about Chelsea's contribution and deduction amounts is (are)true?
I.If Chelsea is single and is covered by a qualified pension plan,she is allowed to contribute $5,500 to her IRA account,but she is allowed a deduction for only $3,300 of the contribution because her adjusted gross income is greater than $62,000.
II.If Chelsea is married and covered by a qualified pension plan and her husband does not work,they can contribute and deduct $5,500 to two separate IRA accounts (one for herself and one for her husband).
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Quizplus · Accepted Answer

Both statements are correct.

Chelsea Is an Employee of Avondale Company