Let's solve the problem of revising the budget to save an additional [tex]$50 per month for the purpose of buying a new computer. Throughout the solution, we will detail the current budget, the required skimming of $[/tex]50 from the discretionary spending, and the new revised budget.
### Step-by-Step Solution:
1. Summarize the Current Monthly Budget:
- Rent: \[tex]$600
- Utilities, phone, Internet: \$[/tex]230
- Groceries: \[tex]$100 (as deduced)
- Entertainment: \$[/tex]300
- Renters insurance: \[tex]$50
- Car insurance/gas: \$[/tex]20
- Discretionary spending: \[tex]$475
- Savings: \$[/tex]315
2. Calculate the Current Total Expenditures:
[tex]\[
\text{Total Expenditures} = 600 + 230 + 100 + 300 + 50 + 20 + 475 + 315 = 2090
\][/tex]
3. Determine the Amount Needed for Computer:
- You need to save an additional \[tex]$50 per month for the new computer.
4. Revise the Budget:
- To meet the new goal, reduce the discretionary spending by \$[/tex]50.
5. Calculate the Revised Discretionary Spending:
[tex]\[
\text{Revised Discretionary Spending} = 475 - 50 = 425
\][/tex]
6. Calculate the New Total Expenditures:
Since you are reducing the discretionary spending by \[tex]$50, the new total expenditures will also reduce by \$[/tex]50.
[tex]\[
\text{Revised Total Expenditures} = 2090 - 50 = 2040
\][/tex]
### Final Revised Budget:
- Rent: \[tex]$600
- Utilities, phone, Internet: \$[/tex]230
- Groceries: \[tex]$100
- Entertainment: \$[/tex]300
- Renters insurance: \[tex]$50
- Car insurance/gas: \$[/tex]20
- Discretionary spending: \[tex]$425
- Savings: \$[/tex]315
- Total Expenditures: \[tex]$2040
Thus, by decreasing your discretionary spending from \$[/tex]475 to \[tex]$425, you have successfully revised your budget to save an additional \$[/tex]50 per month for the new computer, resulting in a new total expenditure of \$2040 per month.
