Question

Last month, Luke spent $1,300 on his mortgage (home loan payment), $320 for food, $280 on entertainment, $275 for his car payment, $60 on car insurance, and $75 on clothing. What was the difference for the month between his fixed expenses and variable expenses? A) $1035 B) $1240 C) $960 D) $900

Answer 1

Te difference between the two categories is 960.

The fixed expenses are: mortgage, car and insurance
1300 + 275 + 60 = 1635

The variable expenses are: food, entertainment, clothing
320 + 280 + 75 = 675

Subtracting those gives a value of 960.