Question

You have £100 weekly for expenses paid monthly in advance on the first day of the month (assume 4 week month). Give a breakdown of these weekly expenses.

1. Create a one month spreadsheet (spreadsheet 1) by week assuming all expenses are paid in full on the last day of the month and no money remains in your account.

2. Consider whether you are able to make any savings and assume these savings are constant each month. Suppose you invest these savings on the first day of the month with interest paid monthly and compounded. Investigate a possible savings rate and create spreadsheets for a) your monthly expense account and b) your savings account for 6 months and 1 year from the first investment (a monthly statement is received).

100 Amount per week No of weeks Total 400 Particulars Week 1 Week 2 Week 3 Week 4 50 50 40 Food Transport 40 20 20 20 20 100 200 0 80 200 200 200 Clothing Housing Utility bills Entertainment and recreation Other Expenses 30 30 30 30 50 30 50 110 0 400 400 400 400 400 Total expense Balance