Question

Mike has a net spendable income of $1,400. He decides to set up a budget before looking for an apartment or a car. He sets up his budget and finds that he has lots of money left over. He puts the extra money into entertainment.

Housing $420
Food $168
Transportation $210
Insurances $42
Debts $70
Entertainment $224
Clothing $70
Savings $70
Medical $56
Miscellaneous $70
Why might this budget be a problem?

Answer 1

This might be a problem considering he would have no money left considering unless I made a mistake all the numbers add up to 1,400 so considering this he won't have money to spend if he get in a situation that he needs to spend

(I am not 100% sure this is the answer you are looking for)

Answer 2

Answer:

Total money spent =$1400

so, no money is left over

So, he won't left be with any money with him

He might have problem with this budget

Step-by-step explanation:

Mike has a net spendable income of $1,400

So, he has total money =$1400

He spends some of money and set up his budget

so, firstly we will find total money spent

Housing =$420

Food=$168

Transportation=$210

Insurances=$42

Debts=$70

Entertainment=$224

Clothing=$70

Savings=$70

Medical=$56

Miscellaneous=$70

now, we can find total money spent

Total money spent=Housing+Food+Transportation+Insurances+Debts +Entertainment+Clothing+Savings+Medical+Miscellaneous

Total money spent=420+168+210+42+70+224+70+70+56+70

Total money spent =$1400

We can see that he spent his entire budget

so, no money is left over

So, he won't left be with any money with him

He might have problem with this budget