Question

Each month Matthew budgets $1830 for fixed expenses, $1200 for living expenses, and $120 for annual expenses. His annual net income is $36,552. Which statement best describes his monthly budget?
It shows a deficit of $140.
It shows a surplus of $140.
It shows a surplus of $10.
It is balanced.

Answer 1

So net expenses monthly are 1830+1200= 3030

so annually it will be 3030×12 = 36360 +120 = 36480

so 36552-36480 = 72

so he surplus 72 dollars !!...answer !!

I got this , but there is no option !!

Answer 2

Answer: It shows a deficit of $104.

Step-by-step explanation:

Since, If his annual net income is $36,552.

Thus, his monthly budget = 36,552/12 = $ 3046

Also, his total expenditures for a month = 1830 + 1200 + 120 = $ 3150

Since, 3150 > 3046

Hence, his budget is not enough for his expenses,

⇒ The deficit = 3150 - 3046 = $ 104

⇒ It shows a deficit of $104.