Sovi.AI - AI Math Tutor

Scan to solve math questions

QUESTION IMAGE

8. which description is most accurate for a zero-based budget? * 1 poin…

Question

  1. which description is most accurate for a zero-based budget? *

1 point
○ you put every dollar of your net pay into a budget category each month
○ you spend your checking account balance down to $0 every month
○ you spend your saving account balance down to $0 every month
○ you pay every one of your debts down to $0 every month

Explanation:

Brief Explanations

A zero - based budget means that every dollar of income (net pay) is assigned to a budget category, like savings, expenses, or debt payments, so that the total income minus total allocations equals zero. The other options misinterpret zero - based budgeting: spending checking/savings to zero is not the goal, and paying all debts to zero monthly is not what it means.

Answer:

A. You put every dollar of your net pay into a budget category each month