Answer:
The mistake she is making is that she is making less than she is spending
Step-by-step explanation:
Step 1: Determine her total income
Let her total income be x
Step 2: Determine amount of each expense
The amount of each expense can be expressed;
Amount of each expense=percentage of total expense×total income
a). Rent
percentage expense on rent=40%
total income=x
Amount of rent=(40/100)×x=0.4 x
b). Savings
percentage expense on savings=10%
Amount of savings=(10/100)×x=0.1 x
c). Fixed expenses
percentage fixed expense=40%
Amount of fixed expenses=(40/100)×x=0.4 x
d). Flexible expenses
percentage flexible expense=20%
Amount of flexible expenses=(20/100)×x=0.2 x
Step 3: Calculate total expenses
Total expenses=Amount of flexible expenses+fixed expenses+amount of savings+amount of rent
replacing;
Total expenses=(0.2 x+0.4 x+0.1 x+0.4 x)=1.1 x
Step 4: Get remaining amount of her income
Net income=(x-1.1 x)=-0.1 x
This means that her expenses exceed her income by -0.1 x. The mistake she is making is that she is making less than she is spending
