Question

Yen has a salary of $3,722 each month. Her fixed monthly expenses consist of $500 for rent. She also makes the monthly car payment of $299, not including her monthly car insurance premium of $173. Are these payments working Yens recommended limit?

Answer 1

I'm slightly confused. Is it saying 500$ is part of her expense or the cap of which she doesn't want to go over?

I'm under the impression 3,722$ is her cap in she makes 3,722/month. If that is true she is well over and the payments are working.