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Gina Wilson and Taylor Baker are roommates employed at Walmart while attending college. Their goal is to buy a car for $\$15,000 in cash at the end of the year. For that reason, they have put themselves on a strict budget which includes the following:

40\%$ food and lodging, $20\%$ entertainment, $10\% education

Gina earns \$2,400 per month and Taylor earns \$1,900$ per month. Carefully show if Gina and Taylor would have enough case to buy the car at the end of the year.

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    where did the 30% come from2012-10-18

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They are using 40% food and lodging, 20% entertainment, 10% education. So they can save (100-40-20-10=)30% of their combined salary for the car. Their combined salary is \$2,400 + \$1,900 = \$4,300 per month. So they will save (30/100)*4,300 = \$1,290 per month. In a year (of 12 months), they will have saved an amount of 1290*12=\$15,480. Since this amount is more than the cost of the car (\$15,000), they can have enough cash to buy it.