Liam is a computer systems analyst and is looking to change to a company that offers more opportunities for advancement. Which company is a better choice based on annual income after housing and utility costs?

• A. Job 1 is the better choice with an after-housing income of $65,800.
• B. Job 2 is the better choice with an after-housing income of $64,700.
• C. Both jobs have the same after-housing income.
• D. The offers do not include housing costs.

Answer: (A)

This item tests making a choice between job offers using take-home pay after housing and utilities. After-housing income shows what Liam actually has left after paying housing costs, so it’s the clearest metric for the money he can use for anything else, including pursuing opportunities for advancement. The option with an after-housing income of 65,800 provides more disposable income than the option at 64,700, making it the financially better choice when focusing on this measure. The choice saying housing costs aren’t included wouldn’t allow a fair comparison, and saying both jobs are the same contradicts the data. So, the option with the higher after-housing income is the best choice.