Fixed and Variable

What are fixed expenses?

• Irregular expenses that change from week to week or month to month

• The amount of money in your bank account

• The amount of cash in your purse or wallet

• Expenses that stay the same from week to week or month to month

What are variable expenses?

• Irregular expenses that change from week to week or month to month

• The amount of money in your bank account

• Costs that do not fluctuate from week to week or month to month

• The amount of cash in your purse/wallet

Is a cell phone bill a fixed or variable expense?

• Fixed

• Variable

• Both fixed and variable

• Neither fixed nor variable

After school snacks are a fixed expense.

• True

• False

A loan payment is a fixed expense.

• True

• False

Every month, Jack’s mother pays the following expenses: the house payment, the club membership, the car payment, and the cost of food. Which is a variable expense?

• the house payment

• the cost of food

• the club membership

• the car payment

Dara makes bracelets and sells them in her shop. Which is a fixed expense for Dara’s business?

• the cost of the beads

• the cost of the string

• the cost of advertising

• rent for her shop

Lexi is taking 3 courses at Community College. She pays $835 for each college course. She spends about $45 a week for 20 weeks to drive to school. How much does she spend on fixed expenses?

• $900

• $2,400

• $2,505

• $2,700

Mario paid off his car loan this year. His payments were $259 a month for each of the first 8 months. The last payment, in the ninth month, was $125. What was the total Mario paid in car payments this year?

• $2,072

• $384

• $1,947

• $2,197

Mario paid off his car loan this year. His payments were $259 a month for each of the first 8 months. The last payment, in the ninth month, was $125. Are the payments Mario paid during the first 8 months fixed or variable?

• Fixed, because the amount did not change from month to month

• Variable, because the amount changed from month to month