You have a budget for your personal finances. Which of the following statements best explains this statement?
A) You use your budget to show the difference between what you earn (income) and what you spend (expenditures).
B) Budgets are for poor individuals.
C) You use your budget to measure your creditworthiness.
D) Budgets are a tool students use to figure out whether or not they can afford the next semester.

Question

Quizplus · Accepted Answer

A budget is a financial plan that helps you track and control your spending. It shows the difference between your income and expenditures, allowing you to manage your money better and avoid overspending.

You Have a Budget for Your Personal Finances