Ralph (age 62) is unmarried and has no dependents. Ralph's Traditional IRA has a balance of 185,000
Over the years, Ralph made contributions to his IRA of $120,000 of which 21,600 were non-
deductible.
1. During the current year, Ralph withdrew $25,800 from his IRA. Compute the taxable and non-
taxable amounts of this distribution.
Taxable Amount
Tax-Free Amount