Final answer:
Utilities are essential services such as electricity, heating, and water, necessary for running a home. They play a significant role in the monthly expenditure whether renting or buying, and must be considered in financial planning and budgeting. The correct option is 1.
Step-by-step explanation:
Utilities are services that are necessary for running a home, which makes Option 1 the correct answer. This includes critical services such as electricity, heating, water, and in some cases could also extend to services like garbage collection and internet access. These are essential for a comfortable living environment.
When considering renting vs. buying a home, utilities often come into the discussion. While renting, some or all utilities might be included in the rent, whereas homeowners typically are responsible for these costs separately from their mortgage. Creating and adhering to a budget is essential in managing these expenses effectively.
It's also important to understand that these costs are only part of the overall monthly expenditure that must be budgeted for. Whether one decides to rent or buy, factoring in the cost of utilities into one's financial planning is crucial. The correct option is 1.