Question

A plan for spending money that balances income with spending and shows how money will be spent is

- a surplus
- an expenditure
- a budget
- a deficit

Answer 1

The correct answer is budget.

Answer 2

The third answer is correct (C).

Financial education is a necessary tool for people to be able to deal with their finances and protect their assets. An elementary point of financial education is budget implementation.

The budget is a strategic analysis of the interaction between the expenses and the income of a citizen. With a properly drawn up budget, the citizen can analyze his accounts and protect himself from spending more than he receives. The income is released and with each purchase the citizen must throw the expense, so that the expense should never exceed the income, because this generates a budget deficit.