Discretionary income is defined as the
A) income to be used for spending and/or savings.
B) income available for luxuries, after necessities are bought.
C) real income a consumer has to spend.
D) actual income a consumer has to spend.

Question

Quizplus · Accepted Answer

Discretionary income is the amount of an individual's income that is left for spending, investing, or saving after taxes and personal necessities (like food, shelter, and clothing) have been paid. It specifically refers to the income available for luxuries and non-essential purchases.

Discretionary Income Is Defined as the