Austin is a junior in college and recently returned from a spring-break trip to Panama City...
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Austin is a junior in college and recently returned from a spring-break trip to Panama City with his friends. However, the vacation followed Austin home. He ended up putting the entire trip on his credit card, including airfare, a two-night hotel stay, entertainment, food and other ex- penses. He already had a $1,750 balance on the credit card prior to the trip and added $2,000 of spring-break expenses to that. Austin now has almost $4,000 to pay off. Between the large credit card payments and his other monthly bills, he's having trouble paying all of his bills. This month Austin found himself $275 short of paying his bills. On top of all that, he's stressed because his employer is considering cutting his 20 hour/week job down to 10 hours a week. Austin is trying to find a way to fairly pay his debts, knowing that everyone won't get paid this month. His savings is down to $100. He's thought about bankruptcy, since he's finding fewer and fewer options to get out of this situation. 1 How would you handle Austin's situation? What other options does Austin have besides bankruptcy? How could Austin have avoided this financial mess? 2 3 Austin is a junior in college and recently returned from a spring-break trip to Panama City with his friends. However, the vacation followed Austin home. He ended up putting the entire trip on his credit card, including airfare, a two-night hotel stay, entertainment, food and other ex- penses. He already had a $1,750 balance on the credit card prior to the trip and added $2,000 of spring-break expenses to that. Austin now has almost $4,000 to pay off. Between the large credit card payments and his other monthly bills, he's having trouble paying all of his bills. This month Austin found himself $275 short of paying his bills. On top of all that, he's stressed because his employer is considering cutting his 20 hour/week job down to 10 hours a week. Austin is trying to find a way to fairly pay his debts, knowing that everyone won't get paid this month. His savings is down to $100. He's thought about bankruptcy, since he's finding fewer and fewer options to get out of this situation. 1 How would you handle Austin's situation? What other options does Austin have besides bankruptcy? How could Austin have avoided this financial mess? 2 3
Expert Answer:
Answer rating: 100% (QA)
Handling Austins Situation Given Austins current financial situation its crucial for him to take immediate action to address his debts and cash flow issues Here are steps he can consider taking a Prio... View the full answer
Related Book For
Managerial accounting
ISBN: 978-0471467854
1st edition
Authors: ramji balakrishnan, k. s i varamakrishnan, Geoffrey b. sprin
Posted Date:
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