Final answer:
To calculate personal income for a minimum wage earner, consider the example of Mary Ann, who earns a monthly after-tax income of $2,589.10. With monthly expenses higher than the desired savings, she may not be able to save 10% of her income.
Step-by-step explanation:
To calculate personal income for a minimum wage earner, we need to understand the income and expenses of an individual. Let's consider the example of Mary Ann, who earns a monthly after-tax income of $2,589.10. Her monthly expenses include rent ($790), cell phone ($75), utilities ($45), cable TV and internet ($65), groceries ($450), entertainment ($250), car payment ($350), and gasoline ($120). To determine if she can save 10% of her monthly income, we can calculate her total expenses and savings. Total expenses come out to be $2,145, and 10% of her monthly income is $258.91. Since her total expenses are higher than 10% of her income, Mary Ann may not be able to save the desired amount.