The bottom line of James’s income statement shows a negative number, which means he is spending more money than he makes.
James has prepared his income statement: Income Salary 3,500 Tax withholding (490) 401(k) 0 Health insurance (210) Net salary 2,800 Total net income $2,800.00 Expenses Rent (900) Utilities (325) Internet (62) Credit card payments (200) Food (625) Clothes (200) Transportation (200) Entertainment (400) Total expenses $2,912.00 Difference ($112.00) The bottom line of James’s income statement shows a negative number. What does this mean? (1 point) Responses He entered the incorrect amount for his rent. He entered the incorrect amount for his rent. He spends $200 a month on clothes. He spends $200 a month on clothes. He is not contributing to his 401(k). He is not contributing to his 401(k). He is spending more money than he makes. He is spending more money than he makes.
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