Question

1. scenario: marcus the fashion writer

category	description
debt repayments	marcus took out loans to attend college and has a monthly student loan payment of \\$250 and has \\$100 in credit card monthly payments from a previous car repair.
living expenses	marcus rents a studio apartment in atlanta and pays \\$1,500 a month. his utilities are \\$150, internet and phone are \\$125, and groceries are \\$200 each month. his basic health insurance is \\$150.
transportation	marcuss car was gifted to him by his grandmother so he pays \\$140 for car insurance and \\$150 for gas.
entertainment and travel	marcus spends \\$350 a month eating out with coworkers. marcus spends \\$300 to attend industry events. he isnt home much so he doesnt pay for tv services.
apparel and personal services	he spends \\$400 on new clothes and shoes every month; haircuts are \\$60 a month. he has a gym at his office so he doesnt pay for a membership.

a. how much is marcus monthly income after expenses are deducted?
b. how much are his total monthly expenses?
c. in what ways does marcus keep expenses down?

Explanation:

Calculate net monthly income

$$
LATEXBLOCK0
$$

Calculate total monthly expenses

$$
LATEXBLOCK1
$$

Identify expense reduction methods

• No car payment (gifted car)
• No TV services subscription
• No gym membership (uses office gym)

Answer:

Question a

\(s = \$220\)

Question b

\(s = \$3,875\)

Question c

Marcus keeps expenses down by having a gifted car (no car payment), not paying for TV services, and using his office gym (no gym membership fee).