Question

The yearly expenses for the Glenn family are represented in the circle graph. The Glenn’s have just purchased a new car. A new category must be added to the circle graph to represent the car costs. The payments for the new car will be $375.00 per month and the insurance for the new car will be $85.00 per month. The new car expenses will need to be taken from the Other category because total yearly expenses must remain the same. Which of the following would represent the approximate percentages for the Car and Other categories needed to create a new circle graph representation of the Glenn family yearly expenses? Car: 1.53% Other: 21.8%

Car: 15% Other: 8.3%

Car: 18.4% Other: 4.9%

Car: 15.5% Other: 19.7%

Answer 1

Car: 18.4% Other: 4.9%

Explanation:

Glenn family yearly total expenses are

`\$8,600+\$4,800+\$5,400+\$2,400+\$7,000+\$1,800=\$30,000`

Other expenses are $7,000.

The payments for the new car are: $375.00 per month and the insurance for the new car $85.00 per month, in total, $460 per month. Yearly expenses for car are

`\$460\cdot 12=\$5,520`

Now, the expenses for the following two categories are

Car - $5,520

Other - $7,000 - $5,520 = $1,480

Percentage:

Car:

`(5,520)/(30,000)\cdot 100\%=18.4\%`

Other

`(1,480)/(30,000)\cdot 100\%\approx 4.93\%`