Slade makes six payments a year of $125.50 for life insurance.

Question

How much must he budget weekly for this fixed expense?
a. $14.48
b. $31.38
c. $2.81
d. $41.83

Answer 1

First, we need to find the total amount paid per year:

6 payments/year x $125.50/payment = $753/year

To find the weekly budget, we divide this by 52 weeks in a year:

$753/year / 52 weeks/year = $14.48/week

Therefore, the answer is (a) $14.48.