Question

Ann has to make payments twice a year on her health insurance. If each payment is $2,316, how much money should she budget for health insurance each month? Round to the nearest dollar.

Answer 1

What are the choices?

Answer 2

Answer: She should budget $386 each month.

Explanation:

Given : Ann has to make payments twice a year on her health insurance.

Each payment = $2,316

2 payments = 2 x ($2,316) = $ 4,632

i.e. Ana has to pay $ 4,632 each year on her health insurance.

Since , 1 year = 12 months

Then, the money she should budget for health insurance each month = (Money she has to pay in a year) ÷ (12)

= $ 4,632 ÷ (12)

= $ 386

Hence , she should budget $386 each month.