Question

lejandro lives in a small apartment, within walking distance to school. He takes the bus to work where he makes $10 per hour after taxes and works 30 hours per week. He wants to save money to buy a $6000 car within the next 2 years. How could a monthly budget be created to help Alejandro meet his financial goals? Select the best option.
Monthly Budget
Budget A
Budget B
Budget C
Budget D
Income
$1,500
$1,500
$1,200
$1,200
Expenses-
Rent
Utilities
Food
Bus Pass
Savings

$600
$100
$150

$25
$250

$600
$100
$550

$25
$250

$600
$100
$250

$25
$250

$600
$100
$150

$25
$250

a.
Budget A
b.
Budget B
c.
Budget C
d.
Budget D



Please select the best answer from the choices provided


A
B
C
D

Answer 1

Answer: D

Work: $10/hr × 30 hr/week × 4 weeks ≈ $1,200/month.
Goal: $6,000 ÷ 24 months = $250/month savings needed.

Budget D has $1,200 income and sets aside $250/month while keeping expenses within income, so it meets Alejandro’s goal.