Question

If Rahul wants to reduce his monthly spending, he should A get a better job. B reduce his fixed expenses. C reduce his variable expenses. D reduce his fixed and variable expenses.

Answer 1

reduce his fixed and variable expenses.

Step-by-step explanation:

If rahul wants to reduce how much money he spends, he should try to reduce both of them. For example, you live in an expensive house and your losing money. You have to reduce your variable expenses by trying to lower it down or moving to a new home with less costs of variable expenses. Fixed expenses are things that aren't that important, which is easy to reduce. Therefore the answer is D. Reduce his fixed and variable expenses

Answer 2

C. reduce his variable expenses.

Step-by-step explanation:

There are two types of expenses: Variable expenses and Fixed Expenses. Fixed Expenses are the expenses that are fixed for every month and its difficult to reduce these expenses such as house rent, fuel or travel expenses to go for work, utility bills. These are almost fixed for every month and it is difficult to reduce them. On the other hand, variable expense are the expense that vary for every month and can reduce easily. These expenses includes eating outside at restaurants, clothing, enjoying and arranging parties.

Rahul should reduce his variable expense to reduce his spending. This could be the easier way to reduce the expenses and save more. First option is not valid as he want to reduce his spending, this shows that he is satisfied with his current job but worried about extra expenses each month. This is the reason option C is the better choice for him to reduce expense.