Emily had an excellent year as a salesperson in 2011,earning $97,000.She paid $17,000 for "necessities" such as mortgage,food,and clothing.Her state and federal income taxes totaled $24,000.What was her discretionary income?
A)$41,000
B)$56,000
C)$65,000
D)$73,000
E)There is not enough data provided to calculate her discretionary income.

Question

Quizplus · Accepted Answer

Discretionary income is calculated by subtracting necessary expenses and taxes from total income.
Discretionary income = Total income - Necessities - Taxes
= $97,000 - $17,000 - $24,000
= $56,000
Therefore, Emily's discretionary income was $56,000.

Emily Had an Excellent Year as a Salesperson in 2011,earning