Reference no: EM133076260

Quentin attained age 70 1/2 on August 7, this year.

The balance in Quentin's mutual fund IRA on December 31, last year, is $45,000.

The balance in Quentin's bank IRA on December 31, last year, is $20,000.

Quentin wants to take a distribution from his IRA to satisfy the minimum distribution requirement.

Elizabeth, his wife, is age 65 and is the beneficiary on both of Quentin's IRAs.

Which if the following are correct statements about Quentin's financial situation? (assuming the balances on December 31, this year, are $48,000 and $21,000).

I. His second required minimum distribution is $2,604.

II. His second required minimum distribution is $3,026.

III. If Quentin withdraws $1,000 on January 1, next year, he must pay a penalty of $500.

IV. Quentin must take a portion of the firs year's required distribution from both IRAs (i.e., $1,000 from the account at the bank and $1,604 from the other account).

Select one:

a. I only

b. I and III only

c. II and III only

d. I, III, and IV only

e. II, III, and IV only