Chapter 3:Recordkeeping

Applied Business Math

Bell Work (15 mins)

◦Unscramble the words below:

◦NAALNU PXNEEES

◦TEGUDB HTEES

◦CENGMYEER DNUF

◦VINIGL MURAYMS

◦GINPEKERDOERC

What You Will Learn

◦Students will be able to

examine how people

manage their money, so

that students can figure

out how much money is

needed to live on and

where to spend it.

Why It Is Important

◦ Keeping track of money that you

spend is wise money

management.

◦ Budgeting allows you to pay all

your bills on time.

◦ It helps you implement a plan so you

can afford higher priced items

through long-term savings.

Section 1: Average Monthly Expenditures

◦Recordkeeping is a way for

you to manage your money.

◦Record your monthly

expenditures, or the items

you spend your money on.

◦You can use a budget sheet

to record your expenses.

How to Find Average Monthly Expenditure

𝑨𝒗𝒆𝒓𝒂𝒈𝒆𝑴𝒐𝒏𝒕𝒉𝒍𝒚 𝑬𝒙𝒑𝒆𝒏𝒅𝒊𝒕𝒖𝒓𝒆 =𝑺𝒖𝒎 𝒐𝒇𝑴𝒐𝒏𝒕𝒉𝒍𝒚 𝑬𝒙𝒑𝒆𝒏𝒅𝒊𝒕𝒖𝒓𝒆𝒔

𝑵𝒖𝒎𝒃𝒆𝒓 𝒐𝒇𝑴𝒐𝒏𝒕𝒉𝒔

In-class Example 1

Amy and Todd Irving’s monthly expenses for June, July, and

August are as follows: June, $3260; July, $3537; and August,

$3430. Find the average monthly expenditures of the Irvings.

In-class Example 2

The Benson family has weekly grocery bills in April for the

amounts of $90.85, $106.24, $79.87, and $101.16. What is

their average weekly expense for groceries?

Class Activity (20 mins)

Work on the provided work sheet on a lined paper.

Once you are done, turn it in and place it in your respective class stack.

Personal Finance Software (20 mins)

Work in groups of three.

1Look on the Internet for different types of personal finance software.

2Compare prices, features, and so on.

3

Create a poster or presentation to share the results of your research to the class.

4

Bell Work (10 mins)

◦Find the monthly average expenditures:

Section 2: Preparing a Budget Sheet

◦Living expenses include food, utility

bills, pocket money, and so on.◦ These vary from month to month.

◦Fixed expenses are expenses that do

not vary from one month to the next. ◦ One example of a fixed expense is rent.

◦Annual expenses are expenses that

occur once a year.◦ Examples include insurance premiums and

real estate taxes.

HOW TO FIND TOTAL MONTHLY EXPENSES

Concept Check

Section 3: Using a Budget

◦Expense summary is a

monthly budget report that

compares the amounts

you spend to the amounts

you have budgeted.

◦Emergency fund is extra

monies set aside to be

used for unpredictable

expenses such as medical

bills and vehicle repairs.

Class Activity (25 mins)

Work on the given class

activity.

Once you are done, turn it in and place it in

your respective class stack.