Question

Sofia still lives at home, but helps with the rent paying $200 per month. She has a job that pays about $700 per month after taxes. She has to pay for her own personal items such as clothing and toiletries spending about $120 per month. Going out with friends is important to her, but she also wants to save money to buy her own car. Select the budget that would best help meet her goals. Monthly Budget Budget A Budget B Budget C Budget D Income $700 $700 $700 $700 Expenses - Rent Personal Items Entertainment Savings $200 $120 $100 $250 $200 $120 $300 $50 $200 $120 $200 $150 $200 $120 $325 $25 a. Budget A b. Budget B c. Budget C d. Budget D

Answer 1

A

Explanation:

Answer 2

Budget A is the answer.

Explanation:

Sofia's monthly income is about $700 that can be denoted as
`income\leq 700`. The expenses are divided in rent, personal items, entertainment and savings. Table for the budgets is shown below.(all amounts in dollars)

Rent Personal Items Entertainment Savings

Budget A 200 120 100 250

Budget B 200 120 300 50

Budget C 200 120 200 150

Budget D 200 120 325 25

Rent and personal expenses are fixed for Sofia. So, she can only juggle her expenses for entertainment to save more. If she spends less on entertainment then she can save more and reach her goal to buy a car.

The total amounts of all the budgets are $670.

Therefore, budget A is the best budget for her. This is because here she is spending wisely for entertainment and saving more in order to reach her goal quickly.