4. Think of a way to explain the rationale for your budget decisions to your family. Some questions you could think about to help

create your explanation are:

• Why did you decide to buy less food?

• Why did your housing costs increase?

• Why did you decide to cut the most from entertainment and apparel?

• Why couldn't you change the amount you spent on transportation (this likely includes your car payment)?

What other areas had to remain the same?

Why did you decide to reduce the amount that you paid towards existing debt or put into savings, and what will the long-

term effects of that be?

[Write your response to question 4 here.]

Fig: 1