What term refers to the cost required for something, or the money spent on something?

• A. Revenue
• B. Expenses
• C. Expenditure
• D. Investment

Answer: (B)

The term that refers specifically to the cost required for something, or the money spent on goods or services, is expenses. Expenses encompass all the costs incurred in the process of conducting business or personal activities, including operational costs, bills, and other financial outflows necessary to maintain functionality or achieve objectives.

While revenue denotes income generated from business activities, expenditure relates to the total spending but is often used in broader contexts rather than focusing exclusively on money spent. Investment implies a directed allocation of funds with an expectation of generating returns, which distinguishes it from the general costs represented by expenses. Each of these terms has a distinct meaning in financial contexts, but expenses most accurately captures the idea of costs incurred.