The actual income for this month has been reduced by $200. How can this budget be modified so there will be a positive actual net income? Monthly Budget
Budgeted Amount
Actual Amount
Income
Wages

$1250

$1050
Expenses
Rent
Utilities
Food
Clothes
Cell Phone

$450
$150
$220
$200
$75

$
$
$
$
$
Net Income
$155
$
a.
This budget can be modified by increasing the amount spent on food and utilities and decreasing the amount spent on clothes and rent, thereby maintaining a positive actual net income.
b.
This budget can be modified by reducing the amount spent on rent and utilities, thereby reducing overall expenses to have the maximum amount of money for all other expenses.
c.
This budget can be modified by reducing the amount spent on food and clothes, thereby reducing overall expenses to have the maximum amount of money for fixed expenses and maintaining a positive actual net income.
d.
This budget cannot be modified.

To give a positive actual net income, the budget can be modified by reducing the amount spent on food and clothes, thereby reducing overall expenses to have the maximum amount of money for fixed expenses.

Option C is correct.

In accounting, the actual net income is defined as an entity's income minus the costs of expenses on goods sold, depreciation, amortization, interest, and taxes.

To determine actual net income, start with gross income, which is the whole amount of money earned, and then deduct costs like taxes and interest payments.

To give a positive actual net income, the budget can be modified by reducing the amount spent on food and clothes, thereby reducing overall expenses to have the maximum amount of money for fixed expenses.

Learn more about actual net income here:

hi,

i'm 75% sure the answer is 1,1 to both lines.

have a great day

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