Answer:
54280
Step-by-step explanation:
We are given a lot of information here, so the first thing we need to do is figure out what the problem is. We are asked to find the amount left in the IRA if the retiree takes money out now. To find this, all we need to know is his age, the amount in his IRA account, the percent he plans to take out, the age where no penalty is taken for withdrawals, and the penalty percentage for taking out money before age is not reached. All the other information is irrelevant. We are told that he is 68 and the age for no penalty is 72. Now we need the percent he wants to take out, which is 2% and the penalty is 6%. We are also told he has $59,000 in his IRA account. We first add the percent he plans to take out with the penalty percent, then multiply by the amount in his IRA
2+6=8%
0.08⋅59000=4720
Now, we subtract that amount from the original IRA amount
59000−4720=$54,280
So, $54,280 will be left in his IRA.
