Practice Quiz

Financial Planner

Category - Retirement Savings and Income Planning

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When determining what plan is best for Jeff’s business some tax considerations should be considered. When selecting asset class of different investments, what should be compared?
  1. After-tax
  2. Before-tax
  3. Earned-tax
  4. Tax-deferred
Explanation
Answer: B - When selecting asset class of different investments the before-tax expected return should be compared. Additionally, be concerned with retirement plan assets tax-emption from income taxes prior to distribution and if the investment strategy is appropriate for tax-exempt growth.
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