What defines a Balanced Budget?

A balanced budget is defined as a financial situation where the income or revenues received are equal to or less than the expenditures or spending. This means that a government or organization does not spend more than it receives, maintaining fiscal responsibility and ensuring that its financial obligations can be met without incurring debt.

Option B captures this concept accurately, as it specifies that current expenditures must at least match income, aligning with the principles of a balanced budget. Such a framework is essential for sustainable financial management, helping entities avoid deficits that could lead to economic instability.

The idea behind the balanced budget is pivotal in the context of government financial management, economic policy planning, and overall fiscal health. It promotes careful planning and prioritization of spending, ensuring that resources are allocated efficiently and responsibly.