Follow the instructions to complete a budget. Assume that a month is exactly four weeks long and that you work 20 days per month. Consider this scenario and complete the portion of the monthly budget for fixed costs. 1-You are a recent college graduate and have found a job that pays you $750 per week. You live in a small apartment for which you pay $800 every month and use the public transportation network to get to your job. Traveling to and from work each day costs you $5. When you receive your weekly paycheck, 16% is withheld for taxes and $20 for your medical insurance. You spend $60 a week on groceries. Each month you spend $175 on electricity/sewer/water utilities and $200 to repay a federal loan from your college days. 52 2-The remaining categories are discretionary spending. This means you must decide how much or little to spend in each area. Spend the money as you wish, but the total of your fixed and discretionary expenses must be less than or equal to your income. 3- Subtract the total of your fixed and discretionary expenses from your monthly income. If the result is negative, you need to go back and cut back on a discretionary expense until the number is positive./n2- The remaining categories are discretionary spending. This means you must decide how much or little to spend in each area. Spend the money as you wish, but the total of your fixed and discretionary expenses must be less than or equal to your income. 3- Subtract the total of your fixed and discretionary expenses from your monthly income. If the result is negative, you need to go back and cut back on a discretionary expense until the number is positive. 10) Monthly Income $ Fixed Expenses (amount budgeted per month) rent $ taxes clothes SSSSGAGAGA LA entertainment/dining out charitable giving savings and investments Total Discretionary Expenses Total Above or Below Budget $ transportation medical insurance food utilities loan payment Total Fixed Expenses $ Discretionary Expenses (amount budgeted per month) telephone/internet $ $ $ $ $ $ ASSSSS $ $ $ $ $ 11) Explain why making a budget is important in reaching financial goals and avoiding negative consequences.

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