Income, Expenditure, Profit & Break-even is one of 9 topics in the Grade 12 Mathematical Literacy CAPS syllabus, covered across 3 lessons on Study Vault. Below are real practice questions from this topic with full worked answers.
Sample practice questions
Easy
1. Which of the following is an example of a fixed expense in a household budget?
Monthly rent
Groceries
Entertainment spending
Electricity usage
Answer: Monthly rent — Rent is a fixed expense because it stays the same each month, unlike groceries, entertainment and electricity, which are variable expenses that change depending on usage or choices.
Easy
2. What term describes the situation where a budget's expenditure is greater than its income?
Answer: deficit — A deficit occurs when expenditure exceeds income, meaning the budget balance is negative.
Medium
3. A household has a total monthly income of R18,500 and total monthly expenditure of R16,200. What is the household's monthly budget balance, in Rand?
Answer: 2300 — Balance = income - expenditure = R18,500 - R16,200 = R2,300 (a surplus).
