When making a budget, a recommended goal is to spend 10% on utilities. In reality, household spending depends on economic levels. Households with incomes from $15,000 to $20,000 spend over 11% on utilities. Households with incomes from $50,000 to $70,000 spend 8.2% on utilities, while households with incomes above $150,000 spend only 4.8% on utilities. The McKinneys' annual income is $65,000
How much should they budget annually for utilities?
… Households with incomes from $50,000 to $70,000 spend 8.2% on utilities … The McKinneys' annual income is $65,000.
So — the McKinneys should spend what percent of $65,000 on utilities?
Convert 8.2% to decimal number — 0.082
Now multiply …
To determine how much the McKinneys should budget annually for utilities, we will use the recommended goal of spending 10% of their income on utilities.
Step 1: Calculate 10% of the McKinneys' annual income.
10% of $65,000 = ($65,000 * 10) / 100 = $6,500.
Therefore, the McKinneys should budget $6,500 annually for utilities.
To determine how much the McKinneys should budget annually for utilities, we need to calculate 8.2% of their annual income.
Step 1: Calculate 8.2% of $65,000
8.2% = 8.2/100 = 0.082
0.082 * $65,000 = $5,330
Therefore, the McKinneys should budget $5,330 annually for utilities.
Answer: $5330
"The McKinneys' annual income is $65,000."
"Households with incomes from $50,000 to $70,000 spend 8.2% on utilities"
Since $65,000 is between $50,000 and $70,000, the percent you need is 8.2%.
8.2% of $65,000 = 0.082 * $65,000 = $5330