Question

Calculate approximately how much money an older (age 65-74) household with an annual income of $36,000 spends on housing each year. Use Exhibit 14-3.

AGE 65-74 AGE 75 & OLDER Pretax Annual Income 100 Annual Expenditures Average $ Amount Percent $52,366 100 $48,855 100 $15,838 - 32.4 $ 6,284 12.0 Housing 36.5 Average $ Amount Percent $35,467 $36,673 100 $13,375 $ 4,349 11.9 $ 683 1.9 $ 5,091 13.9 $ 5,708 15.6 Food Clothing $ 1,417 2.9 Transportation $ 8,338 17.1 Health Care $ 5,456 12.2 Entertainment $ 2,988 4.4 6.1 5.7 $ 1,626 $ 800 Pensions and Social Security $ 2,788 2.2. Other* $ 6,074 11.6 $ 5,041 13.7 ncludes cash distribution, alcohol, tobacco, personal care products and services, reading, education, life and ersonal insurance, and miscellaneous expenses. Surce: Ann C. Foster, "A Closer Look at Spending Patterns of Older Americans," Beyond the Numbers: Prices ar pending, vol. 5, no. 4 (U.S. Bureau of Labor Statistics, March 2016), https://www.bls.gov/opub/btn/volume5/spendin atterns-of-older-americans.htm, accessed May 4, 2017. 23% 1 1:59 PL

Answer 1

Amount an older (age 65-74) household with an annual income of $36,000 spends on housing each year=36000*32.4%==36000*32.4%