Questions: Use the table of annual expenses to calculate the category expense contribution for rent. Payroll: 403,120 Advertising: 8,532 Raw Materials: 214,570 Rent: 51,440 Insurance: 8,111 Utilities: 12,804 Services: 6,880 [?] % Round to the nearest whole percent.

Use the table of annual expenses to calculate the category expense contribution for rent.

Payroll: 403,120
Advertising: 8,532
Raw Materials: 214,570
Rent: 51,440
Insurance: 8,111
Utilities: 12,804
Services: 6,880

[?] %

Round to the nearest whole percent.

Transcript text: Use the table of annual expenses to calculate the category expense contribution for rent. \begin{tabular}{|l|r|} \hline Payroll & $\$ 403,120$ \\ \hline Advertising & $\$ 8,532$ \\ \hline Raw Materials & $\$ 214,570$ \\ \hline Rent & $\$ 51,440$ \\ \hline Insurance & $\$ 8,111$ \\ \hline Utilities & $\$ 12,804$ \\ \hline Services & $\$ 6,880$ \\ \hline \end{tabular} \[ [?] \% \] Round to the nearest whole percent.

Solution

Solution Steps

To find the category expense contribution for rent, we need to calculate the percentage of the total expenses that is attributed to rent. This involves summing up all the expenses to get the total, then dividing the rent expense by this total and multiplying by 100 to convert it to a percentage. Finally, we round the result to the nearest whole number.

Step 1: Calculate Total Expenses

We first sum all the annual expenses: \[ \text{Total Expenses} = 403120 + 8532 + 214570 + 51440 + 8111 + 12804 + 6880 = 705457 \]

Step 2: Calculate Rent Contribution Percentage

Next, we find the percentage contribution of rent to the total expenses: \[ \text{Rent Contribution Percentage} = \left( \frac{\text{Rent}}{\text{Total Expenses}} \right) \times 100 = \left( \frac{51440}{705457} \right) \times 100 \approx 7.2917 \]

Step 3: Round to the Nearest Whole Percent

Finally, we round the rent contribution percentage to the nearest whole number: \[ \text{Rent Contribution Percentage (Rounded)} = 7 \]