Assume that your total income for the current year is $35,000. your total expenses including taxes of $5,000 is $30,000. your savings ratio is

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Business

Jamie Wood

17 September, 04:20

Assume that your total income for the current year is $35,000. your total expenses including taxes of $5,000 is $30,000. your savings ratio is

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Savion Huber · Answer 1

The savings ratio is the amount of money that is not spent divided by the total amount of money earned for the year, expressed as a percentage. In this example, the amount not spent for the year is $5,000. Dividing this by the total income for the year ($35,000) gives a ratio of $5,000/$35,000, or 14.29%.