Table of contents

1. Introduction to Accounting1h 21m
2. Transaction Analysis1h 13m
3. Accrual Accounting Concepts2h 38m
4. Merchandising Operations2h 30m
5. Inventory1h 55m
6. Internal Controls and Reporting Cash1h 16m
7. Receivables and Investments3h 8m
8. Long Lived Assets5h 1m
9. Current Liabilities2h 19m
10. Time Value of Money1h 23m
- Time Value of Money Equations
  35m
- Using Time Value of Money Tables
  47m
11. Long Term Liabilities2h 45m
12. Stockholders' Equity2h 15m
13. Statement of Cash Flows2h 24m
14. Financial Statement Analysis5h 25m
15. GAAP vs IFRS56m

1. Introduction to Accounting

Useful Information

Financial Accounting

1. Introduction to Accounting

Useful Information

Previous problemNext problem

Struggling with Financial Accounting?

Join thousands of students who trust us to help them ace their exams!Watch the first video

Multiple Choice

In the 50-30-20 budgeting method, what percentage of income is typically allocated to needs?

40%

20%

30%

50%

Previous problemNext problem

Verified step by step guidance

Understand the 50-30-20 budgeting method: This method divides income into three categories—needs, wants, and savings. Needs are essential expenses, wants are discretionary spending, and savings are for future financial goals.

Identify the percentage allocated to each category: In the 50-30-20 method, 50% of income is allocated to needs, 30% to wants, and 20% to savings.

Focus on the 'needs' category: Needs include essential expenses such as housing, utilities, groceries, insurance, and minimum debt payments.

Compare the given options: The problem asks for the percentage allocated to needs. The options provided are 40%, 20%, 30%, and 50%. Based on the method, the correct allocation for needs is 50%.

Conclude the reasoning: The 50-30-20 budgeting method clearly specifies that 50% of income is allocated to needs, making this the correct answer.