To solve each of these problems related to Laurel's budget, let's break them down step-by-step.
(a) Calculate the amount of money that Laurel has for savings each month.
Laurel allocates 20% of her net income for savings.
To find the amount for savings: \[ \text{Savings} = \text{Net Income} \times \text{Savings Percentage} \] \[ \text{Savings} = 5500 \times 0.20 = 1100 \]
Laurel has $1100 for savings each month.
(b) Calculate the percent of her monthly income that Laurel spent on entertainment.
Laurel spent $500 on entertainment. To find what percent of her monthly income this represents, use the formula: \[ \text{Percent Spent} = \left( \frac{\text{Amount Spent}}{\text{Net Income}} \right) \times 100 \] \[ \text{Percent Spent} = \left( \frac{500}{5500} \right) \times 100 = \frac{500 \times 100}{5500} \approx 9.09 \]
Laurel spent approximately 9.09% of her income on entertainment.
(c) Calculate what Laurel's net income must be to keep her housing cost at 25% with a new mortgage of $2500.
The housing cost represents 25% of her net income. Therefore, we can set up the equation: \[ \text{Mortgage} = 0.25 \times \text{Net Income} \] \[ 2500 = 0.25 \times \text{Net Income} \]
To find the required net income, divide both sides by 0.25: \[ \text{Net Income} = \frac{2500}{0.25} = 10000 \]
Laurel’s net income must be $10000.