Used to establish fund for the grandchild

Assignment Help Financial Accounting

Reference no: EM131287815

Ruth would like to establish a college fund of $20,000 for her grandson, age 1. She has heard about 529 plans and Coverdale college fund and is wondering how either could be used to establish a fund for the grandchild. Ruth is in a high tax bracket and would like to invest the funds in some kind of account that allows the earnings to be deferred as long as it is used for the grandchild's college education. You tell Ruth you will research ways she can achieve her goals, prepare a recommendation for Ruth.

Reference no: EM131287815

Questions Cloud

The stockholders equity section : The December 31, 2014, balance sheet of Giorgio Inc., reported total assets of $1,050,000 and total liabilities of $680,000. The following information relates to the year 2015: Madden Inc. issued an additional 5,000 shares of common stock at $25 per ..

What is the organizational culture of accounting profession : What is the organizational culture of the accounting profession. What are the two primary advantages of the straight line method? Discuss contingencies in terms of their economic substance and their balance sheet presentation.

Improve the welfare of employee-investors is pension design : If employee-investors are unsophisticated and unlikely to be materially influenced by educational efforts, the best way to improve the welfare of employee-investors is pension design. Discuss.

Prepare a bank reconciliation and journal entries : The following information is extracted from the bank statement and the accounting records of Sun Corporation for the month of July, 2016: Prepare a bank reconciliation for Sun on July 31, 2016. Prepare the journal entries necessary to adjust Sun’s bo..

Used to establish fund for the grandchild : Ruth would like to establish a college fund of $20,000 for her grandson, age 1. She has heard about 529 plans and Coverdale college fund and is wondering how either could be used to establish a fund for the grandchild. Ruth is in a high tax bracket a..

Exchanged the equipment for new equipment : Jones Corp. purchased equipment for $45,000. Total depreciation of $36,000 was recorded. On January 1, 2017, Jones exchanged the equipment for new equipment, paying $56,000 cash. The market value of the new equipment is $65,000. Prepare the journal e..

Consolidated net income attributable to controlling interest : On January 1, 2012, Chamberlain Corporation pays $604,000 for a 60 percent ownership in Neville. Annual excess fair-value amortization of $22,400 results from the acquisition. On December 31, 2013, Neville reports revenues of $536,000 and expenses of..

Realized gains or losses on available-for-sale investments : Realized gains or losses on available-for-sale investments represent the difference between the Realized gains or losses on available-for-sale investments represent the difference between the historical cost and the average market value of the invest..

Order discharging the personal representative : If no federal estate tax return is required of the decedent's estate a. the Section 645 election is not available. b. the Section 645 election period begins on date of death. c. the Section 645 election period ends when the local probate court enters..

User Account

All Pages