Question

Each month, Morse budgets $1,765 for fixed expenses, $ 641 for living expenses,and $549 for annual expenses. His annual net income is $ 68,939. Describe hismonthly budget by using a positive number to show how much of a surplus there is, a negative number to show how much of a deficient there is, or zero if it is abalance budget. Round answer to the nearest whole number. For units use a wordnot a symbol.

Answer 1

SOLUTION

Given the question in the question tab, the following are the solution steps to answer the question.

STEP 1: Get the monthly income from the annual income

$\begin{gathered} \text{Annual net income}=\text{\ }68,939 \\ \text{Annual implies yearly and a year has 12 months, therefore,} \\ \text{Monthly income}=\frac{\text{\ }68,939}{12}=\text{\ }5774.916667\text{ } \\ \\ \text{Morse has an income of \ 5774.916667 per month} \end{gathered}$

STEP 2: Get Morse's monthly expenses

$\begin{gathered} \text{Annual expense fe}e=\text{\ 549} \\ \text{Monthly expense fe}e=\frac{\text{\ }549}{12}=\text{\ }45.75\text{ per month} \\ \text{Fixed expenses=\ 1765} \\ \text{Living expenses=\ 641} \\ \\ \text{Total monthly expenses will be:} \\ \text{\ }45.75+\text{\ 1765}+\text{\ 641}=\text{\ }2451.75 \end{gathered}$

STEP 3: Calculate Morse's budget

$\begin{gathered} \text{Monthly budget}=\text{Monthly income-Total Monthly expenses} \\ \text{Monthly budget}=\text{\ 5774.916667}-\text{\ }2451.75 \\ \text{Monthly budget=\ 3293.166667} \\ \text{Monthly budget}\approx\text{\ }3293\text{ to the nearest whole number.} \end{gathered}$

Since the there is a positive return from the subtraction above, this implies that Morse has a surplus of 3293 dollars per month