What is defined as a budget surplus? (1 point)
A. Spending exceeds income.
B.A spending necessity.
C.A spending desire or luxury.
D. Take-home pay exceeds spending.
D. Take-home pay exceeds spending.
D. Take-home pay exceeds spending.
To determine the definition of a budget surplus, we can break down the options and identify the correct one.
A. Spending exceeds income: This option describes a budget deficit, not a surplus. A budget surplus occurs when income exceeds spending, so option A is not the correct choice.
B. A spending necessity: This option is not related to the definition of a budget surplus. It refers to spending needs, not the financial situation where income exceeds expenditures.
C. A spending desire or luxury: This option is also unrelated to the definition of a budget surplus. It refers to discretionary spending choices, not the financial state of having more income than expenses.
D. Take-home pay exceeds spending: This option accurately describes a budget surplus. When a person or organization's income or revenue exceeds their expenses, it results in a budget surplus.
Therefore, the correct answer is D. Take-home pay exceeds spending.