If you have an increase in monthly salary from $4000 to $4500 and an increase in entertainment and dining spending of $650 per month, your net worth is reduced by $150 per month.

Question

Quizplus · Accepted Answer

The increase in salary of $500 per month would lead to an increase in disposable income, but the increase in entertainment and dining spending of $650 per month would outweigh that, resulting in a net decrease of $150 per month in net worth.

If You Have an Increase in Monthly Salary from $4000