Which of the following statements best gives the reasons that a data usage bill for a smart phone is an essential (variable) expense?

a.
It is an obligation to pay, but the spender has some control over its amount.
b.
It cannot be eliminated in a later budget, in order to save money.
c.
It is expected to be the same amount every month.
d.
Bills for services rendered have a higher priority than any other type of expense.

1 answer

The statement that best gives the reasons that a data usage bill for a smart phone is an essential (variable) expense is:

a. It is an obligation to pay, but the spender has some control over its amount.

This reflects the nature of a variable expense, where while there is an obligation to pay the bill, the individual can manage and control how much they spend based on their usage.

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