Question

1. what is the primary purpose of creating a budget in personal finance?

a. to manage daily transportation only
b. to track and control spending
c. to limit your income
d. to track your academic performance

Explanation:

Budgeting in personal finance is about organizing income and expenses. Option a is too narrow as it only focuses on transportation. Option c is incorrect as budgets don't limit income. Option d is unrelated to finance. Option b, tracking and controlling spending, aligns with the core purpose of a budget.

Answer:

B. To track and control spending