Question

Alberto is making a budget. He owes a cell phone bill of $60 per month for 23 more months, plus the fees for any extra usage such as text messaging or extra minutes. Which of the following is the correct category for this expense?
a.
Essential (flexible) expense
b.
Emergency fund
c.
Essential (fixed) expense
d.
Non-essential expense

Answer 1

Answer:

a.  Essential (flexible) expense

Step-by-step explanation:

Most people consider a cell phone an essential expense, since they are used in power outages or emergencies while traveling.

This is a flexible expense, since there are extra fees for extra usage.  

Answer 2

I'm not sure what your book is saying about the matter but a cell phone is not usually an essential expense. If it is saying it is though, it would be an essential flexible expense.