Fixed and Variable Expenses Worksheet
Grade 11 Math worksheet covering fixed and variable expenses, their definitions, examples, and calculations.
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Topics
Fixed and Variable Expenses
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Read each question carefully and provide your best answer. Show all your work for calculation questions.
1. Which of the following is typically considered a fixed expense for a household?
Groceries
Rent payment
Utility bills (electricity, water)
Entertainment
2. A variable expense:
Stays the same every month.
Changes based on usage or consumption.
Is always higher than a fixed expense.
Is not part of a budget.
1. Car insurance premiums are generally considered a variable expense.
True
False
2. Increasing your electricity usage will likely increase your fixed expenses.
True
False
1. Expenses that remain constant regardless of the level of activity or usage are called expenses.
2. The cost of raw materials for a manufacturing company is an example of a expense.
1. Provide two examples of a fixed expense and two examples of a variable expense for a small business. Explain why each is categorized as such.
Scenario: Sarah is planning a birthday party. She estimates the following costs:
- Venue rental: $200
- Food per person: $15
- Decorations: $50
- Cake: $40
- Party favors per person: $5
A. Identify which of Sarah's expenses are fixed and which are variable.
B. If Sarah invites 20 guests, calculate her total fixed expenses, total variable expenses, and total overall expenses.