Question

Peter is currently spending more each month than he is earning. Explain, using complete sentences, three steps Peter could take to lower his expenses each month.

Answer 1

Peter could spend $100 less on his entertainment budget; saving him $100. He could also possibly cut off his internet because it is not a necessity. Doing so will save him an additional $150. He could also move to a cheaper location that is $100 less that his current rent. Doing these 3 steps will save peter $350.


I don't know if this is the type of answer the problem is wanting..

Answer 2

@jim_thompson5910

Answer 3

where are you stuck xoxo_devvie?

does helloimjared's response make sense?

Answer 4

it doesnt make sense to me at all

Answer 5

which item in his expenses is NOT a necessity?

Answer 6

the entertainment like dinner and movies

Answer 7

good, that's not needed to sustain life, so he could do without it

Answer 8

now he's in the hole $75 (ie he owes $75)

so this means he must cut $75 or more from his expenses

ideally he would cut more than $75 so he wouldn't break even and be completely flat broke

Answer 9

so how much do you want to cut from the entertainment budget?

Answer 10

maybe $150?

Answer 11

ok so that means he will have a surplus of $75 (ie he will have $75 left over and he could put that towards savings)

Answer 12

so that's one way to lower expenses and probably the easiest way

Answer 13

it's also the most common sense way since it's not a necessity

Answer 14

okay!

Answer 15

another way is to cut back on things like gas and electric, so he could maybe not heat his house at certain times or on certain days to save money that way

Answer 16

or he could take public transportation or get a ride in a carpool to save on gasoline

Answer 17

the only thing that cannot be reduced at all is the rent