Cathy budgets 23% of her income for housing and 21% of her income

Question

for food. If she earns $18,000 per year, how much must she budget
monthly for housing and food?
a. $792
b. $660
c. $7,920
d. $61.30

Answer 1

First, we need to find out how much Cathy's income is monthly:

$18,000 / 12 months = $1,500 per month

Next, we need to calculate how much she must budget for housing and food.

For housing:

$1,500 x 0.23 = $345

For food:

$1,500 x 0.21 = $315

Adding the two amounts together:

$345 + $315 = $660

Therefore, the answer is b. $660.