Rad makes six payments a year of $175.50 for his auto insurance. How
much must he budget weekly to cover this fixed expense?
a. $20.25
b. $43.88
c. $1,053
d. $87.75
To find out how much Rad must budget weekly for his auto insurance, we need to divide the total amount he pays annually by the number of weeks in a year.
He pays 6 payments of $175.50 each per year, which is a total of 6 x $175.50 = $1053 annually.
There are 52 weeks in a year, so dividing $1053 by 52 gives us $20.25.
Therefore, the answer is (a) $20.25.