Net income after taxes and deductions = $2,810
Spending amounts:
On groceries = $200.
On car lease = $300.
On rent = $900.
On dining out = $350.
On clothing =$100 and
In charity = $65.
Fixed expenses are the expenses those remains constant.
We can see that only fixed expenses are a car lease amount and rent.
Total fix expences =300+900 = $1200.
In order to find jared’s discretionary income after he deducts his fixed expenses, we need to subtract Total fix expenses amount from net income.
Therefore, jared’s discretionary income after he deducts his fixed expenses
= 2810 - 1200
= $1610.
Therefore, correct option is b. $1,610.
