Lesson 3: Spending Money — Budgets and GST

Year 10 Mathematics Unit 1 — Block A | Worksheet



Multiple Choice

Q1. A monthly budget shows income of $4,800. Essential expenses are $2,600, discretionary expenses are $1,400 and the rest is saved. What percentage of income is saved?

A) 20% B) 16.7% C) 25% D) 33.3%

Q2. An item costs $121 including GST. What is the GST amount?

A) $12.10 B) $11.00 C) $13.31 D) $110.00

Q3. A weekly budget allocates 30% to rent, 25% to food, 15% to transport, 10% to utilities and the rest to savings. What percentage is saved?

A) 10% B) 20% C) 15% D) 25%

Q4. Which is the correct way to calculate the pre-GST price of an item costing $77 including GST?

A) $77 x 0.10 B) $77 / 1.10 C) $77 - $7.70 D) $77 x 0.90

Q5. A family has a monthly income of $6,500. Their expenses total $5,850. What is their savings ratio and is it adequate for emergency planning (recommended minimum 10%)?

A) 8.5%, below recommended B) 10%, meets minimum C) 12%, above minimum D) 90%, excessive

Short Answer

Q6. A restaurant bill comes to $154 including GST. Calculate the GST amount and the pre-GST price of the meal. (2 marks)

Q7. Create a monthly budget for someone earning $4,200 per month. Allocate at least 25% to housing, 15% to transport, and ensure savings are at least 10%. Show all calculations. (3 marks)

Q8. Explain why GST-inclusive pricing benefits consumers more than GST-exclusive pricing, using a $110 item as an example. (3 marks)

Key Formulas