Expense refers to the money we spend on various things in our daily lives. It’s the cash or resources we give up to acquire goods or services. Expenses can be both essential and optional, depending on our needs and wants.
Expenses can be classified into investment expenses, which involve spending for long-term financial benefits and potential returns, such as education, stocks, or starting a business, and consumption expenses, which encompass immediate or short-term spending on goods and services for personal satisfaction, such as dining out, entertainment, or clothing.
