14.) your job pays you $1,200.00 per month. all taxes combined reduce your pay by 30%. your current expenses…

14.) your job pays you $1,200.00 per month. all taxes combined reduce your pay by 30%. your current expenses are $800.00 per month. you want to join a gym for $75.00 per month. can you afford to join the gym? why or why not? please write your answer in a complete sentence. (7 points)

14.) your job pays you $1,200.00 per month. all taxes combined reduce your pay by 30%. your current expenses are $800.00 per month. you want to join a gym for $75.00 per month. can you afford to join the gym? why or why not? please write your answer in a complete sentence. (7 points)

Answer

Explanation:

Step1: Calculate after - tax pay

The pre - tax pay is $1200$ per month. Taxes reduce pay by $30%$, so the amount of tax is $0.3\times1200 = 360$. The after - tax pay is $1200-360=840$.

Step2: Calculate remaining money after expenses

The current expenses are $800$ per month. After paying expenses from the after - tax pay, the remaining money is $840 - 800=40$.

Step3: Compare with gym cost

The cost of joining the gym is $75$ per month. Since $40<75$.

Answer:

No, you cannot afford to join the gym because after paying taxes and current expenses, you only have $40$ left per month, which is less than the $75$ monthly cost of the gym.