Ben recently purchased a new home. In order to be able to afford the home, he came up with a budget that breaks down his monthly income as follows; 30% for housing, 20% for food, 22% for utilities, 10% for savings, 6% for entertainment, 12% for personal items. Ben has a net income of $4000 per month. Calculations for a budget are identical tp calculations for tips and commissions. Calculate the amount of money that Ben will have each month for his most essential budget items:housing food and utilities

Question

Ben recently purchased a new home. In order to be able to afford the home, he came up with a budget that breaks down his monthly income as follows; 30% for housing, 20% for food, 22% for utilities, 10% for savings, 6% for entertainment, 12% for personal items. Ben has a net income of $4000 per month. Calculations for a budget are identical tp calculations for tips and commissions. Calculate the amount of money that Ben will have each month for his most essential budget items:housing food and utilities

Answer 1

To calculate the amount of money that Ben will have each month for his most essential budget items (housing, food, and utilities), we need to calculate the percentage of his net income that he will allocate to each of these categories.

Housing: 30% of $4000 = 0.3 x 4000 = $1200
Food: 20% of $4000 = 0.2 x 4000 = $800
Utilities: 22% of $4000 = 0.22 x 4000 = $880

Therefore, Ben will have $1200 for housing, $800 for food, and $880 for utilities each month.