Question

Which of these best states why someone would use a budget?

A. People need to keep a budget to know how much income tax to
pay
O B. Having a budget is the only way to get a government
appropriation
C Fixed expenses can be reduced by using a strict budget
O D. Budgets help people keep their expenghys below their income.

Answer 1

D. Budgets help people keep their expenses below their income.

Step-by-step explanation:

The primary purpose of using a budget is to manage personal or organizational finances effectively. A budget helps individuals or businesses plan and control their spending, ensuring that expenses do not exceed the income. By creating a budget, individuals can track their income, set financial goals, and allocate funds for various expenses such as bills, savings, investments, and discretionary spending. By keeping their expenses below their income, individuals can avoid overspending, accumulate savings, and achieve financial stability.