Chapter 2 Financial Planning Exercise 4 Preparing personal Income and expense statement Use Worksheet 2.2 Robyn and Matthew Scott are about to construct their income and expense statement for the year ending December 31, 2020. Robyn works full time while Matthew is finishing up graduate school. They have put together the following income and expense Information for 2020: $42,000 2,250 Robyn's salary Reimbursement for travel expenses Interest on: Savings account Certificates of deposit Groceries 110 70 4,150 9,500 Rent Utilities 960 650 3,300 280 2,700 2,200 Gas and auto expenses Matthew's tuition, books, and supplies Books, magazines, and periodicals Clothing and other miscellaneous expenses Cost of photographic equipment purchased with charge card Amount paid this year on photographic equipment Robyn's travel expenses Purchase of a used car (cost) Outstanding loan balance on car Purchase of bonds in Verizon Communications Inc 1,600 1,950 9,750 7,300 4,900 Using the information provided, prepare an income and expense statement for the Scotts for the year ending December 31, 2020 (follow the form shown in Worksheet 2.2). Enter all expense amounts as positive values. CONTAM INE INCOME AND EXPENSE STATEMENT Name(s) Robyn and Matthew Scott For the year Ended December 31, 2020 INCOME Wages and salaries Name: Robyn Name: Name: Self-employment income Bonuses and commissions Investment income Interest received Dividends received Rents received Sale of securities -- Gain or Loss Other: Reimbursement of Robyn's travel expenses Pensions and annuities Other income (1) Total Income EXPENSES Housing Rent/mortgage payment (include insurance and taxes, if applicable) Repairs, maintenance, improvements Gas, electric, water Phone Utilities Utilities Gas, electric, water Phone Transportation Medical Cable TV and other Groceries Dining out Auto loan payments License plates, fees, etc. Gas, oil, repairs, tires, maintenance Health, major medical, disability insurance (payroll deductions or not provided by employer) Doctor, dentist, hospital, medicines Clothes, Shoes, and accessories Homeowner's (if not covered by mortgage payment) Life (not provided by employer) Auto Income and social security Property (if not included in mortgage) Loan payments Clothing Insurance Purchases and repairs Appliances, furniture, and other major purchases Personal care Recreation and entertainment Laundry, cosmetics, hair care Vacations Other recreation and entertainment Matthew's tuition, books, and supplies Other items Medical Clothing Insurance Health, major medical, disability Insurance (payroll deductions or not provided by employer) Doctor, dentist, hospital, medicines Clothes, shoes, and accessories Homeowner's (If not covered by mortgage payment) Life (not provided by employer) Auto Income and social security Property (if not included in mortgage) Loan payments Taxes Purchases and repairs Appliances, furniture, and other major purchases Personal care Recreation and entertainment Laundry, cosmetics, hair care Vacations Other recreation and entertainment Matthew's tuition, books, and supplies Photographic equipment -- amount paid Robyn's travel expenses Other items (II) Total Expenses CASH SURPLUS (OR DEFICIT) [(1)-(11)]
