The best approach to solve the problem of an annual budget deficit is to:
A) liquidate more assets than required to meet the total budget shortfall for the year.
B) borrow funds on credit cards.
C) reduce flexible expenses for nonessential items.
D) reduce fixed expenses.
E) reduce high-priority expenses on the budget.

Question

Quizplus · Accepted Answer

Reducing flexible expenses for nonessential items is a practical approach to managing a budget deficit without affecting essential services or incurring additional debt.

The Best Approach to Solve the Problem of an Annual