5
QuizMultiple Choice

Financial Responsibility and Budgeting — Test

Question 5 • Personal Finance

What is the simplest change that can be made to the budget to produce more savings next month?

Answer
A
Add to fixed expenses.
B
Increase total income.
C
Decrease food expenses.
D
Reduce rent payments.

Explanation

Savings increase when expenses decrease or income increases. The simplest direct change is to decrease food expenses, a variable cost that can often be adjusted from month to month. Reducing rent may not be practical, and adding to fixed expenses would reduce savings.

AI-written and checked against the verified answer.

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