What is her saving and what is her consumption

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Reference no: EM131209120

Diane Weil earns wages of $45,000 and interest and dividend income of $5,000. She spends $8,000 as a down payment on a newly constructed mountain cabin and lends $4,000 in financial markets.

Assuming that Diane spends the remainder of her income on consumption, what is her saving? Is she a net lender or net borrower? What is her consumption?

Reference no: EM131209120

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