8
QuizMultiple Choice

Components of Renting — Quiz

Question 8 • Financial Algebra/Mathematics

Tobias earns $6,215 per month. He has monthly expenses of $2,475 excluding rent. He does not want his rent to exceed 20% of his monthly income. What is the max amount he is willing to spend on rent each month?

Answer
A
4 dollars comma 972
B
1 dollars comma 243
C
495 dollars
D
3 dollars comma 740

Explanation

To find the maximum rent, calculate 20% of Tobias’s monthly income: $6,215 × 0.20 = $1,243. His other expenses do not change this rent limit. The correct choice is $1,243.

AI-written and checked against the verified answer.

Previous
Next