Sean and Lisa (Age 25 and 28,respectively)are Purchasing Their First

Multiple Choice

Sean and Lisa (age 25 and 28,respectively) are purchasing their first home for $200,000 with a 5% down payment.They will withdraw the down payment from Lisa's IRA.They will have to pay ____ on the IRA withdrawal.

A) federal income taxes
B) an early withdrawal penalty
C) Social Security taxes
D) a and b
E) a,b,and c