Answer:
b. $896.
Step-by-step explanation:
We have been given that a common rule is that housing expenses should not be more than 28% of your monthly income. Your monthly income is $3,200.
To find the amount of money we can spend on housing, we need to figure out 28% of $3200.
[tex]\text{Amount we can spend on housing}=\frac{28}{100}\times \$3200[/tex]
[tex]\text{Amount we can spend on housing}=0.28\times \$3200[/tex]
[tex]\text{Amount we can spend on housing}=\$896[/tex]
Therefore, we can spend $896 on housing and option 'b' is the correct choice.
