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Ed and Marta are paid $2,410 after taxes every month. Monthly expenses include$777 on housing and utilities, $395 for auto loans, $164 on food, and

Ed and Marta are paid $2,410 after taxes every month. Monthly expenses include$777 on housing and utilities, $395 for auto loans, $164 on food, and an average of $713 on clothing and other variable expenses. Assuming that they save excess funds, calculate and interpret their savings ratio. Hint: Prepare an income statement, then compute the ratio.

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