Susan earns $3,275 per month from her full-time job, and another $800 from a part-time job on the weekends. Her monthly taxes are $950. In addition, her monthly expenses are given in the following table:

Rent $1,200 Internet $50 Electricity $180 Water $50 Cellular $60 Groceries $300 Car Expenses $250 Health $200 Insurance

Clothing and $175 Personal Recreation $225

In addition, Susan receives $300 per month from interest and another $100 per month from stock dividends.

Based on this information, a) What is Susans monthly disposable income? b) What are her total monthly cash inflows? c) What are her total monthly cash outflows? d) What are her net monthly cash flows? e) If Susan saves $300 per month, what is her savings rate?

2) The following table shows Susans assets:

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Assets

Home Cars Furniture Stocks Savings Account Checking Account

Bonds Cash Mutual Funds Land

Fair Market Value 250,000 16,000 5,000 25,000 3,000

4,200

9,000 650 2,000 20,000

Based on this information,

a) What is the value of her liquid assets? b) What is the value of her household assets? c) What is the value of her investment assets? d) What is the total value of her assets?

3) The following table shows Susans liabilities:

Liabilities

Mortgage Car Loan Credit Card Balance Student Loans Furniture Loan (6 months)

Fair Market Value $240,000 $13,550 $4,120 $17,000 $2,800

Based on this information, a) What is the value of her current liabilities? b) What is the value of her long-term liabilities? c) What is the value of her total liabilities?

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