LeeAnn earns an annual salary of $50,000 after taxes. Her average expenses per month come to $3,350. If she saves all the money that she doesn’t use to pay expenses, how much will she have in savings at the end of the year?

A.
$3,350
B.
$3,887
C.
$7,516
D.
$9,800

Question

LeeAnn earns an annual salary of $50,000 after taxes. Her average expenses per month come to $3,350. If she saves all the money that she doesn’t use to pay expenses, how much will she have in savings at the end of the year?

A. 
$3,350
B. 
$3,887
C. 
$7,516
D. 
$9,800

Convert · Answer

Well it says that her average expenses per year are $3,350 and as we know there are 12 months in a year:

$3,350*12=$40,200

Using this total we subtract it from her salary to find out how much she will have in savings at the end of the year:

$50,000-$40,200=$9,800

Based on this we know that the answer is D, $9,800.