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Which of the following is not one of the reasons to track expenses when creating a budget

A. It helps you to analyze your spending habits.
B.It allows you to determine patterns in spending.
C. It helps you to identify which purchases can be reduced.
D. It allows you to find out if you can afford to set a savings goal.

User Parth Mehta
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2 Answers

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14 votes
A? I think! I’m not quite sure
User Defmech
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19 votes

Answer:

D. It allows you to find out if you can afford to set a savings goal is not a reason to track expenses.

Step-by-step explanation:

Regardless of income, an individual should track their expenses to ensure that their money is being spent appropriately.

Answer choice A, B, and C are correct because if someone were to monitor their spendings, they would be able to discern the following:

  • What different goods and services they spend their money on
  • How often they purchase certain goods and services
  • Which goods and services they can cut down on to save costs for other necessary goods and services

Individuals who track their expenses are more likely to make better financial decisions than those who don't. Regardless of if someone makes 6 figures a year or someone who is employed at minimum wage, tracking expenses can help anyone to spend their money efficiently.

Hope this helps!

User Not Sleeping
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