Question

100 POINTS!!! 100 POINTS!!!

Each month, Morse budgets $3,900 for fixed expenses, $676 for living expenses, and $561 for annual expenses. His annual net income is $67,796. Describe his monthly budget by using a positive number to show how much of a surplus there is, a negative number to show how of a deficient there is, or zero if it is a balance budget.

Show work clearly for 100 POINTS!!!

Answer 1

$512.67 (surplus)

Explanation:

Monthly fixed expenses = $3,900

Monthly living expenses = $676

Monthly annual expenses = $561

⇒ Total monthly expenses = 3900 + 676 + 561 = $5,137

Annual net income = $67,796

⇒ Monthly net income = $67,796 ÷ 12 = $5,649.67

Monthly budget = Monthly net income - Total monthly expenses

= $5,649.67 - $5,137

= $512.67 (surplus)