Question

The pie chart below shows how the total annual income for a certain family is spent. If the amount budgeted for entertainment and savings combined is $16,000, what is the total family income

Answer 1

Solution

Step 1

Let the total family income = m

$\begin{gathered} The\text{ amount budgeted for entertainment} \\ =\text{ 14\% of m} \\ =\text{ 0.14m} \end{gathered}$

Step 2

$\begin{gathered} The\text{ amount budgeted for savings } \\ =\text{ 6\% of m} \\ =\text{ 0.06m} \end{gathered}$

Step 3

$\begin{gathered} The\text{ amount budgeted for entertainment and savings combined = \ 16,000} \\ 0.14m\text{ + 0.06m = 16000} \\ 0.2m\text{ = 16000} \\ m\text{ = }\frac{16000}{0.2} \\ m\text{ = \ 80000} \end{gathered}$

Final answer

Total family income = $80,000