Question

Your realized income is $2,847.69/month. Your fixed expenses are 36% of your monthly income. You decide to save 40% of your discretionary monies each month. How much do you save per month? Round any decimals to the nearest penny.

Answer 1

First, calculate your total fixed expenses:
Fixed expenses = $2,847.69/month x 36% = $1,025.57/month

Next, calculate your discretionary income:
Discretionary income = $2,847.69/month - $1,025.57/month = $1,822.12/month

Now, calculate how much you save each month:
Savings = $1,822.12/month x 40% = $728.85/month

Therefore, you save $728.85 per month.