What could be an effective way for clients to reduce variable expenses?

Prepare for the Fincert Certified Personal Financial Counselor (CPFC) Exam with flashcards and multiple-choice questions. Each question is complemented by hints and explanations. Get exam-ready today!

Eliminating a landline when cell phones are available represents an effective way for clients to reduce variable expenses. The reason this is effective lies in the fact that the landline is generally considered a discretionary expense for most households, especially when mobile phone service already covers communication needs.

By removing the landline, clients can free up funds that can be reallocated to essential expenses or savings without sacrificing necessary communication capabilities. This action directly reduces monthly costs without impacting the client's lifestyle significantly. In contrast, increasing the grocery budget, purchasing a new vehicle, or enrolling in a premium cable package would lead to increased expenses, which is contrary to the goal of reducing variable costs. Therefore, eliminating the landline presents a straightforward and practical approach to cutting down on unnecessary expenses.

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