ECONOMICS
DECISION MAKING
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Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
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NMI is the amount of your variable expenses
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It is the amount of income used to determine your monthly spending budget.
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It determines your fixed expenses.
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NMI is your discretionary allowance.
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Detailed explanation-1: -NMI means Net Monthly Income and is the amount of money available for spending after taxes are deducted. Discretionary income is the money available after monthly bills are paid and basic living needs are met.
Detailed explanation-2: -Divide your income among needs, wants, savings and debt repayment, using the 50/30/20 budget.
Detailed explanation-3: -Our 50/30/20 calculator divides your take-home income into suggested spending in three categories: 50% of net pay for needs, 30% for wants and 20% for savings and debt repayment. Find out how this budgeting approach applies to your money.
Detailed explanation-4: -The three types of budgets are a surplus budget, a balanced budget, and a deficit budget. The state budget is a financial document including income and expenditure for the year. An income-and expense-based spending plan is referred to as a budget.
Detailed explanation-5: -Simply add up all of your monthly fixed expenses, like rent or a mortgage payment, and your variable expenses, such as groceries and gas costs. Also factor in occasional but expected purchases, such as new tires. The resulting amount, assuming you aren’t going to debt every month, is your cost of living.