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In: Accounting

Mary and Bob have been married for 25 years. They are both college professors. Mary (50...

Mary and Bob have been married for 25 years. They are both college professors. Mary (50 years of age) makes $65,000 annually and Bob (60 years of age) makes $75,000 annually. Their oldest daughter is getting married. Bob and Mary would like to either 1) take out a second mortgage on their home (they can get an interest rate of 7 percent) or 2) withdraw funds from their IRAs or 3) sell their rental property. The cost of the wedding is $35,000.   The equity in their home is $150,000; they have $80,000 in IRAs between the two of them and the basis of the rental property is $20,000. The rental property can be sold for $120,000. Mary and Bob want to know how they should finance the wedding and if tax implications will be a factor for the year 2020.

I need a client letter and Memo written as:

acts:

Issues:

Authoritites:

Conclusion:

Analysis:

Solutions

Expert Solution


ekkarill92 answered 2 years ago
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