Danielle,who is retired,reaches age 70 1/2 in 2013,and she will also be age 71 in 2013.She has a $150,000 balance in her traditional IRA.If her life expectancy is 15.3 years,what distribution,if any,must be made by April 1,2014?
A)$0
B)$9,804
C)$19,608
D)$150,000
E)None of these

Question

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Danielle must withdraw $9,804 ($150,000/15.3 years)by April 1,2014,to avoid a penalty.She also must receive another distribution of $9,804 by December 31,2014.

Danielle,who Is Retired,reaches Age 70 1/2 in 2013,and She Will