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The graph below shows Joan Murphy's monthly budget: Joan's Monthly Budget - July 2019 €3,000 €2,500 €2,000 €1,500 €1,000 €500 €0 Income Expenditure (i) Calculate the difference between Joan's income and expenditure - Junior Cycle Business Studies - Question 1 - 2019
Question 1
The graph below shows Joan Murphy's monthly budget: Joan's Monthly Budget - July 2019 €3,000 €2,500 €2,000 €1,500 €1,000 €500 €0 Income Expenditur... show full transcript
Worked Solution & Example Answer:The graph below shows Joan Murphy's monthly budget: Joan's Monthly Budget - July 2019 €3,000 €2,500 €2,000 €1,500 €1,000 €500 €0 Income Expenditure (i) Calculate the difference between Joan's income and expenditure - Junior Cycle Business Studies - Question 1 - 2019
Step 1
Calculate the difference between Joan's income and expenditure.
Answer
Joan's income is €2,000 and her expenditure is €2,500.
To find the difference, we subtract income from expenditure:
Difference = Expenditure - Income = €2,500 - €2,000 = €500.
Since the expenditure exceeds the income, this results in a deficit of €500.
Step 2
What advice would you give Joan based on your answer?
Answer
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Decrease expenditure: Joan could cut her discretionary spending, such as holidays.
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Increase income: Joan could look for opportunities to work overtime to increase her income.
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Shop around for the best deals: Encouraging her to use comparison sites, like switch.ie, could help her save money on bills and services.