| Item | food & drinks | fuel | rent | building project | education | savings |
| Percentage% | 35 | 7.5 | 1.0 | 15 | 17.5 | x |
The table shows the monthly expenditure (in percentages) of Mr. Okafor’s salary.
(a) Calculate the percentage of Mr. Okafor’s salary that was put into savings.
(b) Illustrate the information on a pie chart.
(c) If Mr. Okafor’s annual gross salary is $28,800.00 and he pays tax of 12%.
Calculate; (i) his monthly tax; (ii) the amount saved each month.
Explanation
(a) 35 + 7.5 + 10 + 15 + 17.5 + x = 100
85 + x = 100.
x = 100 - 85
x = 15
| items | % | degree |
| food & drinks | 35 | \(\frac{35}{100} * 360\) = 126º |
| fuel | 7.5 |
\(\frac{7.5}{100} * 360\) = 27º |
| rent | 10 |
\(\frac{10}{100} * 360\) = 36º |
| building project | 15 |
\(\frac{15}{100} * 360\) = 54º |
| education | 17.5 |
\(\frac{17.5}{100} * 360\) = 63º |
| savings | 15 |
\(\frac{15}{100} * 360\) = 54º |
(c) income tax = \(\frac{12}{100} * 28,800\) = $3,456.00
Monthly tax = \(\frac{3456}{12}\) = $288.00
(ii) Monthly net salary = \(\frac{1}{12} (288 - 3456)\) = $2,112.00
Amount saved each month = \(\frac{15}{100} * 2112\) = $316.80