A B C D INSTRUCTIONS FOR THIS ASSIGNMENT ARE IN THE BUDGET CASE DETAILS DOCUMENT IN BRIGHTSPACE. You started your first job post-college at ABC Financial in Cleveland earning $60,000 per year. Using the assumptions below, create your initial monthly budget using the budget worksheet. Any remaining funds should be allocated at your discretion for expenses or savings. It is up to you where you spend your remaining money. Ultimately, any remaining funds not allocated to paying for products or services should be allocated to savings or investments, so that your Net Personal Cash Flow is equal to $0. Once you have created your initial budget, update your budget based on the provided three scenarios. Keep in mind these scenarios stand alone, so use the initial case to create each scenario, with no carryover between scenarios. Assume your income is taxed at a flat rate of 25%. You currently have no other sources of income. Your employer offers a Traditional 401(K) plan and you choose to defer 5% of your salary into the retirement plan. Your employer pays 100% for your medical insurance premiums (not likely in real life). You have decided to rent an apartment on the East Bank of the Flats for $1,500 per month. Water/trash is included in your rent. Your electric bill is $50 per month. Your gas bill is $30 per month. Your internet bill is $70 per month. You own a 2015 Honda Civic and you have no monthly payment. Insurance on your car is $75 per month. 565 7 Scenario One 8 You begin to have mechanical issues with your car and it's time to get a new one. You decide to upgrade the Honda and buy an Audi. The total cost of the Audi after taxes and your down payment is $25,000. You finance the purchase for 6 years at 3% APR. Since this new car is faster and more expensive than your previous one, your insurance goes up to $125 per month. Calculate your new car payment and add it to your budget along with your new insurance payment. You may need to adjust some other areas of your budget to afford the new expense. Scenario Two 10 11 2311 14 15 16 69 17 You've been working hard, and your new employer is impressed. They decide to give you a $500 per month raise. Congratulations! Update your monthly income to reflect the increase in compensation. Then update your budget to allocate the extra funds you have available to spend each month. Scenario Three You've been working at ABC Financial for 5 year and your salary is now $90K per year. The extra money has been nice but now you'd like to get more serious about saving for retirement. You decide to increase your Traditional 401(k) contribution to the annual max in 2020 (you are under 50). Update your budget to account for the additional monthly savings. You may need to adjust some other areas of your budget to avoid a deficit.