Because of the Pay-As-You-Go Principle

Because of the pay-as-you-go principle,

A) the legislature cannot adopt an operating budget that exceeds anticipated revenue.
B) the state can borrow money but must repay it within two months.
C) the state creates a new budget every month to adjust to changing needs.
D) the legislature has created a complicated monthly pay system to finance programs.
E) the state is prohibited from spending its financial reserves unless necessary.