question 21 (4.5 points) you are developing a personal mid - term financial plan for the next three to five…

question 21 (4.5 points) you are developing a personal mid - term financial plan for the next three to five years. you anticipate a monthly income of $6,586.77. you want to follow the 50:30:20 rule for budgeting, where 50% of your income goes to needs, 30% to wants, and 20% to savings & debt repayment. based on the 50:30:20 rule, how much should you budget for needs? enter the dollar amount rounded to the nearest cent. your answer: question 22 (4.5 points) you are developing a mid - term financial plan for the next five years. you anticipate an annual income of $41,300. you estimate living expenses for both needs and wants to be $24,315 per year, and you plan to save $14,400 annually for retirement. you also want to save for a down payment on a home and build your emergency fund. considering these figures, how much will you have left for additional savings? enter the dollar amount rounded to the nearest cent. your answer:

question 21 (4.5 points) you are developing a personal mid - term financial plan for the next three to five years. you anticipate a monthly income of $6,586.77. you want to follow the 50:30:20 rule for budgeting, where 50% of your income goes to needs, 30% to wants, and 20% to savings & debt repayment. based on the 50:30:20 rule, how much should you budget for needs? enter the dollar amount rounded to the nearest cent. your answer: question 22 (4.5 points) you are developing a mid - term financial plan for the next five years. you anticipate an annual income of $41,300. you estimate living expenses for both needs and wants to be $24,315 per year, and you plan to save $14,400 annually for retirement. you also want to save for a down payment on a home and build your emergency fund. considering these figures, how much will you have left for additional savings? enter the dollar amount rounded to the nearest cent. your answer:

Answer

Explanation:

Step1: Calculate monthly income for needs

Monthly income is $6,586.77. According to 50:30:20 rule, 50% for needs. So monthly amount for needs is $6,586.77\times0.5$. $6586.77\times0.5 = 3293.385$

Step2: Calculate annual amount for needs

Multiply monthly amount for needs by 12. $3293.385\times12=39520.62$

Step3: Calculate annual income

Annual income is $41,300$.

Step4: Calculate annual savings and debt repayment

Annual income - annual amount for needs. $41300 - 39520.62=1779.38$

Step5: Calculate remaining for additional savings

Annual savings and debt - annual retirement savings - annual home - payment savings Annual retirement savings is $14400$ and annual home - payment savings is $24315$. $1779.38-14400 - 24315=-36935.62$ (This indicates there is a short - fall, but if we assume we first allocate for needs as per the rule and then subtract other savings from remaining income).

Let's re - approach for Question 21: Monthly income is $6586.77$. 50% for needs, so amount for needs is $6586.77\times0.5 = 3293.385\approx3293.39$

Answer:

Question 21: $3293.39$ Question 22: There is not enough information provided in a clear way to accurately calculate the remaining for additional savings as the logic of subtracting savings goals from a negative (after needs allocation) amount is not standard. If we consider income after needs allocation first and then subtract savings goals from it: Monthly income after 50% for needs: $6586.77\times(1 - 0.5)=3293.385$ Annual income after 50% for needs: $3293.385\times12 = 39520.62$ Annual savings goals: $14400 + 24315=38715$ Annual remaining for additional savings: $39520.62-38715 = 805.62$

So for Question 22: $805.62$