Question: Tim passed away in 2021. Susan started receiving CPP Disability Pension in 2021, amount received during the year was $25,000. She also received $2,500 as

Tim passed away in 2021. Susan started receiving CPP Disability Pension in 2021, amount received during the year was $25,000. She also received $2,500 as death benefit due to her father's death. Before going on disability she earned $55,000 from work. On her T4 slip, there is $5,000 Pension Adjustment. She has $2,000 unused RRSP contribution to be carried forward to future year(s). Her RRSP contribution limit at the end of 2020 is zero. How much maximum can she further contribute, that will allow her to deduct fully in 2021?

Select one:

a.$7,850

b.$7,900

c.$7,400

d.$7,450

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