Accent inc sponsors a 25 money purchase pension plan for, Financial Management

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Accent inc sponsors a 25 money purchase pension plan for

Accent, Inc. sponsors a 25% money purchase pension plan for its eligible employees. Carlos earns $200,000, Kevin earns $60,000, Kelly earns $300,000, and Rick, who is ineligible, earns $27,000. What is Accent's required deductible contribution for the year? All employees are under age 50.

a. $116,000

b. $126,250

c. $127,500

d. $134,250

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Financial Management: Accent inc sponsors a 25 money purchase pension plan for

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