Set up an equation that can be used to solve the problem. Solve the equation and answer the question asked.
-An accountant receives a salary of $270,775 per year. During the year, he plans to spend $97,000 on his mortgage, $52,000 on food, $39,000 on clothing, $45,000 on household expenses, and $29,000 on other expenses.
With the money that is left, he expects to buy as many shares of stock at $225 per share as possible. How many
Shares will he be able to buy?
A) 36 shares
B) 41 shares
C) 39 shares
D) 38 shares

Question

Quizplus · Accepted Answer

Let's start by finding out how much money the accountant will spend in total.
Total expenses = $97,000 + $52,000 + $39,000 + $45,000 + $29,000 = $262,000

To find out how much money he will have left, we subtract his total expenses from his salary:
Remaining money = $270,775 - $262,000 = $8,775

Finally, to figure out how many shares of stock he can buy, we divide the remaining money by the cost per share:
Shares = $8,775 / $225 = 39 shares

Therefore, the best choice is C) 39 shares. Let X be the number of shares he can buy.
Total money spent = Mortgage + Food + Clothing + Household + Other expenses
Total money spent = $97,000 + $52,000 + $39,000 + $45,000 + $29,000 = $262,000
Money remaining = Salary - Total money spent
Money remaining = $270,775 - $262,000 = $8,775

Number of shares he can buy = Money remaining / Price per share
Number of shares he can buy = $8,775 / $225 = 39 shares

Therefore, the answer is C) 39 shares as this is the number of shares he can buy with the money remaining after all the expenses.

Set Up an Equation That Can Be Used to Solve