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Use the table below to answer the question:

[tex]\[
\begin{array}{|c|c|c|c|c|}
\hline
\text{State} & \text{Single-Earner} & \text{2-Person} & \text{3-Person} & \text{4-Person} \\
\hline
\text{Florida} & \$41,226 & \$52,259 & \$58,574 & \$69,009 \\
\hline
\text{Georgia} & \$40,691 & \$55,258 & \$61,104 & \$68,502 \\
\hline
\text{Missouri} & \$39,645 & \$51,568 & \$60,371 & \$71,059 \\
\hline
\text{Texas} & \$38,940 & \$55,859 & \$59,222 & \$66,381 \\
\hline
\text{Virginia} & \$48,362 & \$65,122 & \$74,151 & \$85,939 \\
\hline
\end{array}
\][/tex]

A family of three living in Georgia is thinking about filing for Chapter 7 bankruptcy. What must be true about their monthly income?

A. The family's monthly income must be less than \[tex]$5,092.
B. The family's monthly income must be more than \$[/tex]5,092.
C. The family's monthly income must be less than \[tex]$4,605.
D. The family's monthly income must be more than \$[/tex]4,605.



Answer :

GinnyAnswer
To solve this problem, we need to determine the monthly income limit for a family of three in the state of Georgia, according to the provided table. Then, we will match this information to the corresponding option from the given choices.

1. Determine the benchmark annual income for a family of three in Georgia:
- According to the table, for a 3-person family, the annual income limit in Georgia is [tex]\( \$61,104 \)[/tex].

2. Convert the annual income limit to a monthly income limit:
- To find the monthly income limit, we divide the annual income by 12 months.
[tex]\[ \text{Monthly income limit} = \frac{\$ 61,104}{12} = \$ 5,092 \][/tex]

3. Analyze the requirement provided in the question:
- The question asks what must be true about their monthly income to file for Chapter 7 bankruptcy.

4. Interpret the options provided:
- Option a: The family's monthly income must be less than \[tex]$ 5,092. - Option b: The family's monthly income must be more than \$[/tex] 5,092.
- Option c: The family's monthly income must be less than \[tex]$ 4,605. - Option d: The family's monthly income must be more than \$[/tex] 4,605.

We have calculated that the monthly income limit is \[tex]$ 5,092. For the family to qualify for Chapter 7 bankruptcy, their monthly income must be less than this threshold. Thus, the correct option is: - Option a: The family's monthly income must be less than \$[/tex] 5,092.

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