The Choices
Which answer is correct?
Multiply gross monthly income by 0.28.
- A $1,680
- B $2,240
- C $2,880
- D $3,600
Answer: B · $2,240
Twenty-eight percent of $8,000 is $2,240. That is a rule-of-thumb ceiling, not permission to spend that much.
The money lesson
The rough ceiling is $2,240. The math is $8,000 × 0.28, before considering taxes, insurance, repairs, and lifestyle.
This puzzle is designed to make one financial rule easier to remember. Use it as a starting point, then run your own numbers before making a real-world decision.