Question

Suppose the pie chart shown represents the monthly budget for a person who maked $2,000 a month. This person decides to rent an apartment for $500. Is that a wise financial decision? Why or why not?

Answer 1

Yes. It is a wise financial decision because lots of places can be up to 1,000 a month. You would be taking 1,000 out of your check. Giving you only $1,000 for grocerys, car payment, insurence, etc. Only paying $500 can lead to you having more money for other thing. Maybe you wanna go out with your friends, ok? You are spending $1,000 on your apartment and don't have the money, as to where if you are only spending $500, you would have the money to go out and have fun. So, it is a very wise financial decision.

Hope this helped!