Question

Angela's monthly disposable income is ​$1 comma 973 . She has monthly expenses of ​$1 comma 755 ​(including recreational expenses of ​$241 ​) and net cash flow of ​$218 per month. Angela makes a budget based on her personal cash flow statement. In two​ months, she must pay ​$276 for tags and taxes on her car. As a​ result, Angela can expect to save $ 2 comma 340 in the next 12 months. Angela analyzes her personal budget and decides that she can reduce her recreational spending by ​$34 per month. How much will that increase her annual​ savings? What will her annual savings be​now?

Answer 1

increase ein Angela's annual savings: $408

savings after cuts: $2,748

Step-by-step explanation:

spending will decrease the amount saved per month times 12 month per year

$34 recreational spending x 12 months = $408

Angela's expected savings are 2,340 after considering this additional cut to their espending will leave her with savings for:

$2,340 + $408 = $2,748