Morse's monthly expenses are:
* $2,704 for fixed expenses.
* $687 for living expenses.
* $454 for annual expenses.
His total monthly expenses are:
$2,704 + $687 + $454 = $3,845
His annual total expenses are:
12 × $3,845 = $46,140
His annual net income is $46,752. Thus his annual balance is:
$46,752 - $46,140 = $612
His monthly balance is $612/12 = $51.
There is a surplus of $51
