Frank Is a Self- Employed CPA Whose 2018 Net Earnings

Multiple Choice

Frank is a self- employed CPA whose 2018 net earnings from his trade or business (before the H.R. 10 plan contribution but after the deduction for one- half of self- employment taxes) is $240,000. What is the maximum contribution that Frank can make on his behalf to his H.R. 10 (Keogh) plan in 2018?

A) $60,000
B) $55,000
C) $18,500
D) $48,000