Sue’s bank account has a balance of $899.83 before she starts spending money. She makes the following transactions:
Transaction
Cost ($)
Rent
353.76
Video game
32.79
Bike maintenance
60.26
Jacket
55.62
Rug
80.40
Night out
35.77

Sue is considering splitting the cost of a new TV with her roommate. Her share would be $305.22. Can Sue afford this?
a.
Yes, she can make the purchase and have money left over.
b.
Yes, but doing so will clear out her account.
c.
No, making that purchase will overdraw her account.
d.
No, she is overdrawn already.

c) No, making that purchase will overdraw her account.

Step-by-step explanation:

Her beginning balance is $899.83. After her first transaction, rent for $353.76, she has 899.83-353.76 = $546.07.

After her second transaction, a video game for $32.79 , she has $546.07-$32.79=$513.28.

After her third transaction, bike maintenance for $60.26 , she has $513.28-$60.26 = $453.02.

After her fourth transaction, a jacket for $55.62 , she has $453.02-$55.62=$397.40.

After her fifth transaction, a rug for $80.40, she has $397.40-$80.40=$317.

After her last transaction, a night out for $35.77 , she has $317-$35.77=$281.23.

She does not have $305.22 to put towards the television; if she takes this out she will overdraw her account.

c. No, making that purchase will overdraw her account.

Step-by-step explanation:

1. Add all of the transaction costs, 353.76+32.79+60.26+55.62+80.40+35.77= 618.6.

2. Subtract 618.6 from 899.83, you get 281.23

3. Compare 305.22 and 281.23, 305.22 > 281.23.

4. No, making that purchase will overdraw her account.