Question

Luis created a spreadsheet of his expenses for three months. Which of Luis's expenses are variable expenses?

Expenses:
- Jan: $1,250.00 (rent)
- Feb: $1,250.00 (utility bill)
- Mar: $1,250.00 (car loan payment)

a. Groceries
b. Clothing
c. Fuel
d. All of the above

Answer 1

Variable expenses are expenses that can change or fluctuate depending on various factors such as usage or consumption. In Luis's spreadsheet, the variable expenses are groceries, clothing, and fuel.

Step-by-step explanation:

In order to determine which of Luis's expenses are variable expenses, we need to understand what variable expenses are. Variable expenses are expenses that can change or fluctuate depending on various factors such as usage or consumption. Therefore, we can identify the variable expenses in Luis's spreadsheet as follows:

1. Groceries
2. Clothing
3. Fuel

These expenses can vary from month to month based on factors such as the amount spent on groceries, the number of clothing items purchased, and the amount of fuel consumed in a given time period. The other expenses mentioned (rent, utility bill, and car loan payment) are fixed expenses, as they do not typically fluctuate month to month.