ben and his housemates signed a lease for an apartment for 12 months for $563 per month of which ben agreed…

ben and his housemates signed a lease for an apartment for 12 months for $563 per month of which ben agreed to pay $215 per month. which of the following statements best gives the reasons that bens rent payment is an essential (fixed) expense? a. it cannot be eliminated in a later budget, in order to save money. b. living expenses have a higher priority than any other type of expense. c. the spender controls the amount of the rent by choice of apartment. d. he agreed to pay the same amount every month. please select the best answer from the choices provided

ben and his housemates signed a lease for an apartment for 12 months for $563 per month of which ben agreed to pay $215 per month. which of the following statements best gives the reasons that bens rent payment is an essential (fixed) expense? a. it cannot be eliminated in a later budget, in order to save money. b. living expenses have a higher priority than any other type of expense. c. the spender controls the amount of the rent by choice of apartment. d. he agreed to pay the same amount every month. please select the best answer from the choices provided

Answer

Brief Explanations:

A fixed expense is one that remains constant in amount each period. Ben agreed to pay $215 per month, which means the amount is the same monthly, fitting the definition of a fixed expense. Option a is incorrect as fixed - expenses can sometimes be eliminated (e.g., moving out). Option b is too general about living expenses and not specific to why Ben's rent is fixed. Option c refers to control over the amount before signing the lease, not what makes it a fixed expense after the agreement.

Answer:

D. He agreed to pay the same amount every month.