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Sergeeva-Olga [200]
3 years ago
6

Angela's monthly disposable income is ​$2928. She has monthly expenses of ​$ 2664 ​(including recreational expenses of ​$379​) a

nd net cash flow of ​$264 per month. Angela analyzes her personal budget and decides that she can reduce her recreational spending by ​$55 per month. If Angela is saving ​$319 per​ month, what is her savings rate​ (i.e., savings as a percentage of disposable​ income)?
Business
1 answer:
Rus_ich [418]3 years ago
3 0

Answer:

The answer is: Angela's savings rate is 10.89%

Explanation:

To calculate Angela's savings rate we can use the following formula:

Angela's savings rate = (total amount saved / total disposable income) x 100%

Angela's savings rate = ($319 / $2,928) x 100% = 0.1089 x 100%

Angela's savings rate = 10.89%

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