ECONOMICS
MONEY MANAGEMENT
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Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
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A predictable amount of money spent to buy something or do something that is the exact same amount every time is
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a fixed expense
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an emergency fund
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an opportunity cost
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a variable expense
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Explanation:
Detailed explanation-1: -Fixed expenses are expenses that do not change in conjunction with the level of activity. These expenses tend to be quite stable, not changing much from month to month. Examples of fixed expenses are advertising, dues, equipment leases, insurance, and rent.
Detailed explanation-2: -Fixed expenses generally cost the same amount each month (such as rent, mortgage payments, or car payments), while variable expenses change from month to month (dining out, medical expenses, groceries, or anything you buy from a store).
Detailed explanation-3: -That spending can be divided into three categories: mandatory, discretionary, and interest.
There is 1 question to complete.