Question

Question 7: Stacy lives near the Chattanooga area. The average monthly rent for a 1-bedroom apartment near Chattanooga, TN can range anywhere from $800-$1500 per month depending on the neighborhood. Let’s say Stacy found a 1-bedroom apartment near her work for $1,200 per month. What percentage of her monthly income is this? Round to the nearest tenth of a percent.
*Use question 4 net monthly income

(question 4 net monthly income is 2,475.72)

can you work this out step by step

Answer 1

To find out what percentage of Stacy's monthly income is her rent, we can follow these steps:

1. **Identify the monthly rent**:
- Monthly rent = $1,200

2. **Identify the net monthly income**:
- Monthly income = $2,475.72

3. **Set up the percentage formula**:
\[
\text{Percentage of income spent on rent} = \left( \frac{\text{Monthly rent}}{\text{Monthly income}} \right) \times 100
\]

4. **Plug in the values**:
\[
\text{Percentage of income spent on rent} = \left( \frac{1,200}{2,475.72} \right) \times 100
\]

5. **Calculate the fraction**:
\[
\frac{1,200}{2,475.72} \approx 0.484
\]

6. **Multiply by 100 to get the percentage**:
\[
0.484 \times 100 \approx 48.4\%
\]

7. **Rounding**:
Since it is already to the nearest tenth, we state that:

Stacy spends approximately **48.4%** of her monthly income on rent.