how much does she budget for special purchases?

Question

For every $10 she earns she will budget $4 for savings, $4 for  regular  expenses, and $2 for special purchases. If income is $64,000 per year, how much does she budget for special purchases

Answer 1

Hey Mary! So to solve this problem, you would need to know what each percentage of savings, regular expenses, and special purchases are as they relate to the $10. 

 

To calculate the savings you would take $4/$10=.4 or 40%

To calculate the regular expenses you would take $4/$10=.4 or 40%

To calculate the special purchases you would take $2/$10=.2 or 20%

 

When comparing the percentages to her income:

Multiply .4 to 64,000 to find both savings and regular expenses

Multiply .2 to 64,000 to find special purchases