To determine how much you need to increase your monthly net savings to meet your goal of saving at least [tex]$4,500 over the next year, follow these steps:
1. Current Savings and Goal:
- You already have $[/tex]900 saved.
- Your savings goal is [tex]$4,500.
2. Calculate the Remaining Savings Needed:
- Total savings goal: $[/tex]4,500
- Current savings: [tex]$900
- Required savings to reach the goal: $[/tex][tex]$4,500 - 900 = 3,600$[/tex][tex]$
3. Calculate the Number of Months in a Year:
- There are 12 months in a year.
4. Determine the Savings Needed Per Month:
- Required savings: $[/tex]3,600
- Number of months: 12
- Required monthly savings: [tex]$ \frac{3,600}{12} = 300$[/tex]
5. Current Monthly Savings:
- Your current monthly net savings: [tex]$100
6. Calculate the Increase Needed in Monthly Savings:
- Required monthly savings: $[/tex]300
- Current monthly savings: [tex]$100
- Increase in monthly savings required: $[/tex][tex]$300 - 100 = 200$[/tex][tex]$
Therefore, to meet your goal of saving at least $[/tex]4,500 over the next year, you need to increase your monthly net savings by [tex]$200. The appropriate option from the given choices is \$[/tex]200.
