Answer: Gross pay: Gross pay refers to the total amount of income an individual earns before any deductions, such as taxes, insurance premiums, or retirement contributions. It represents the person's total earnings from employment or other sources before any expenses are subtracted.
Spending: Spending refers to the amount of money a person uses or allocates for various expenses, such as bills, rent or mortgage payments, groceries, transportation, entertainment, and other personal expenditures.
The difference between gross pay and spending is often referred to as disposable income or net income, which is the amount of money remaining after subtracting expenses from gross pay. It represents the actual income available for saving, investing, or additional discretionary spending.
Step-by-step explanation: