- Identify monthly rent as \(\$1,100\) and monthly utilities as \(\$200\).
- Calculate the combined monthly expense: \(\$1,100 + \$200 = \$1,300\).
- Multiply the monthly expense by 12 months to get the annual total: \(\$1,300 \times 12 = \$15,600\).
- Final annual cost is \(\boxed{\$15,600}\).
Explanation
- Analysis of Expenses
Amy is evaluating the annual expenses associated with housing and utilities based on her potential job offer. To determine the total annual cost for rent and utilities, we need to extract the monthly data provided: the monthly rent is \(\$1,100\) and the monthly utility costs are \(\$200\). The annual salary, 401K match, and bonuses are relevant to her total income but do not affect the cost of rent and utilities.
- Calculating Annual Expenses
To calculate the combined monthly cost, we sum the monthly rent and the monthly utility costs:
\[\text{Total Monthly Cost} = \$1,100 + \$200 = \$1,300.\]
Next, to find the total annual cost for these expenses, we multiply the combined monthly cost by 12, as there are 12 months in one year:
\[\text{Total Annual Cost} = \$1,300 \times 12 = \$15,600.\]
- Conclusion
The calculation shows that the total amount Amy should expect to pay for rent and utilities over the course of one year is \(\$15,600\). Comparing this result to the given options, we find it matches the final choice. Therefore, the correct option is \(\$15,600\).
\[\boxed{\$15,600}\]
Examples
Understanding how to calculate annual expenses is crucial for personal financial planning. For instance, when creating a budget, it is common to identify monthly recurring costs and project them over the year to see if they align with your total annual income. This helps in making informed decisions about whether a specific lifestyle or housing situation is sustainable with your current salary and benefits.