Savings Positive When Income Exceeds Spending

Steps:

• Define savings as income minus total spending from the table.
• Compare income to spending for each option starting from lowest.
• At $3000, spending equals income, so savings = 0.
• At $3600, spending < income, so savings > 0; higher options also positive but not lowest.

Why B is correct:

• $3600 is the threshold where income surpasses spending, making savings positive per the consumption function in the table.

Why the others are wrong:

• A: At $3000, spending = income, so savings = 0 (not positive).
• C: $3900 exceeds the lowest income with positive savings.
• D: $4200 exceeds the lowest income with positive savings.

Final answer: B