Which of the following is an example of a fixed expense you need to include in your budget?EntertainmentFoodGasRent

Break Down the Problem

1. Identify Fixed Expenses: Understand what constitutes a fixed expense in a budget.
2. Categorize Each Option: Define each provided option as either a fixed or variable expense.

Relevant Concepts

• Fixed Expenses: Regularly occurring expenses that remain constant in amount, such as rent or mortgage payments.
• Variable Expenses: Expenses that can fluctuate each month based on usage or circumstances, such as entertainment, food, and gas.

Analysis and Detail

1. Entertainment: This expense can vary significantly based on activities chosen and is typically considered a variable expense.
2. Food: Grocery bills can change every month, making this a variable expense that depends on many factors.
3. Gas: Costs can fluctuate based on fuel prices and travel needs, classifying this as a variable expense.
4. Rent: This is usually a consistent amount paid monthly, making it a fixed expense.

Verify and Summarize

• The only option that consistently remains the same from month to month is rent.

Final Answer

The correct example of a fixed expense to include in your budget is Rent.