Suppose that a typical household in the United States has an average after-tax income of $41,100. The circle graph below represe
nts how this annual income is (Vote it is because of rounding that the percents do not add up to 100.) How much more is spent on insurance/pensions than on health care? Entertainment Health Care en 5% 5% Clothing Housing 33% Insurance/ Pensions 9% Other 11% Food 14% Transportation 17%
We have been a typical household in the United States has an average after-tax income of $41,100. We are asked to find how much more is spent on insurance/pensions than on health care.
We have been given that 5% is spent on health care and 9% is spent on insurance/pensions. This means that 4% (9%-5%) is more on insurance/pensions than on health care.
Now, we need to find 4% of $41,100.
Therefore, $1644 is more spent on insurance/pensions than on health care.