From the following summary of payments that Carly received this year, calculate her current year earned income.

$29,000 - Employment income

$6,000 - Bonus

$6,000 - RRSP withdrawal

$4,000- Net Rental Income

$4,500 - Taxable capital gains

$2,000 - Interest income on non-registered savings

2) Which of the following statements regarding Defined Benefit Pension Plan and Defined Contribution Pension Plan is TRUE?

In a defined benefit pension plan, the pension income is not guaranteed for life of the plan holder.

In a Defined Contribution Pension plan the investment risk lies with the plan holder (employee)

In a Defined Benefit Pension Plan the plan holder (Employee) decides the types of investment choices.

In Canada it is mandatory for all employers to set up either a Defined Benefit

Answer rating: 100% (QA)

SOLUTION To calculate Carlys current year earned income we can sum up her employment income bonus ne... View the full answer