Case Study 2 Farooq Farooq is 28 years old. He works in a call centre at a major bank and his net earnings are approximately $1800 per month. He also works as a bartender at a restaurant Friday evenings and earns approximately $100 per night. He rents a one-bedroom 0 apartment for $734 per month. He takes public transit to work and his transit pass costs approximately $120 per. month. He does not own a car. Farooq is also paying off a personal loan. The monthly payment is $288. Friday Night The 1. Estimate Farooq's other expenses, such as food and household items. 2. Design a balanced budget for Farooq with the information you know. Use a spreadsheet or a paper budget template. pomem CS Scanned with CamScanner tells Farooq that the restaurant is closing due to manager bankruptcy. This will be his last bartending shift. 3. Redesign a balanced budget for Farooq for the next month given his loss of income. 4. Briefly explain the choices you made to balance his budget. 8.5 Case Studies MHR 479 Six Months Later Farooq has found a new job. He is now the assistant manager of a movie theatre. His hourly rate is $16.50. He works 40 h per week and his net earnings are approximately 80% of his gross earnings. 5. Calculate Farooq's new monthly net income for a four-week month. 6. Redesign a balanced budget for Farooq. 7. Briefly explain the choices you made to balance his budget. Two Years Later Farooq has just turned 30. He still works at the movie theatre. His hourly rate is now $18.20 and he takes home approximately 75% of his gross earnings. His apartment now costs $805/month. He owns a car now. His monthly insurance payments are $116 and he spends $65 per week on fuel. Farooq paid off his personal loan six weeks ago. 8. Redesign a balanced budget for Farooq. 9. Make a brief plan for Farooq's financial possibilities for the next five years. CS Scanned with CamScanner