The chambers family has a net monthly income of $6,500.
chambers family budget:
savings 7%
clothing 18%
medical 10%
emergency fund 8%
transportation 12%
food 20%
housing 25%
if the family decides to reduce its clothing budget by $200 a month, how much would the new clothing budget be? round to the nearest dollar.
$161
$853
$970
$1,170

Option C $970 is the new clothing budget.

Step-by-step explanation:

The Chambers family has a net monthly income = $6,500

Chambers family budget for Clothing = 18% of net income

= (18/100) × 6500

= 0.18 × 6500 = $1,170.00

The budget of Chambers family is $1,170.00 per month, Now the family decides to reduce its clothing budget by $200 a month.

Therefore, we subtract $200 from his old budget to get new clothing budget.

1,170 - 200 = $970.00

Now the new clothing budget of the family is $970.

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step-by-step explanation: