Series 7 - General Securities Representative Exam
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When would an investor decide to open a Roth IRA instead of a Traditional IRA?
An investor thinks he will be in a higher tax bracket during retirement
A
An investor thinks he will be in a lower tax bracket during retirement
B
An investor wants taxable withdrawals during retirement
C
An investor does not want tax deductions prior to retirement
D
Explanations
A valid reason could be anticipation of a higher tax bracket during retirement. The investor may want enjoy the delayed tax benefit