Preparing an income and expense statement helps in answering the question, "Where does all my money go?" This statement takes and subtracts to determine an individual's or a family's cash surplus or deficit situation. If the equation results in a positive number, a number, a exists. exists. If the equation results in a negative Check the correct category for each of the following items. Note: for purposes of this exercise, consider cash in and out for this couple regardless of whether the item is for personal or business use. Cash In/Income Cash Out/Expense Interest on municipal bond Wages Savings account interest Utility bills School supplies Cost of business travel State tax refund Internet access fee Rent Once expenses have been identified, they can be categorized as either fixed expenses or variable expenses. For example, your mortgage would be considered a expense, because Conversely, grocery bills would be considered because the actual amount is Categorize the expenses listed in the following table. Fixed Variable Utility bills Rent School supplies Internet access fee