Which of the following defines a surplus?

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Multiple Choice

Which of the following defines a surplus?

Explanation:
A surplus happens when you have extra money after covering your expenses; in budgeting terms, income or revenues exceed expenditures, leaving positive net cash flow. The statement that more money comes in than is being spent describes this situation directly, so it’s the best fit. For example, bringing in $3,000 in a month and spending $2,500 leaves a $500 surplus. The opposite is a deficit, where spending outpaces income. Forecasts are projections about what will happen, not the actual surplus you’ve achieved.

A surplus happens when you have extra money after covering your expenses; in budgeting terms, income or revenues exceed expenditures, leaving positive net cash flow. The statement that more money comes in than is being spent describes this situation directly, so it’s the best fit. For example, bringing in $3,000 in a month and spending $2,500 leaves a $500 surplus. The opposite is a deficit, where spending outpaces income. Forecasts are projections about what will happen, not the actual surplus you’ve achieved.

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