Inflexible Expense
An expense that cannot be easily eliminated by the firm or person incurring the cost. An inflexible expense represents a recurring debt, which may affect the borrower's ability to attain higher levels of credit. Investopedia Says:
An inflexible expense will often have a fixed amount, leaving the borrower unable to alter its payment stream. For an individual, a typical inflexible expense would be mortgage or car payments, both of which have a fixed schedule of repayment. For companies, expenses such as interest charges and employee wages represent inflexible expenses. Related Terms:
Amortization Schedule
Expense
Flexible Expense
Interest Expense
Mortgage
Recurring Debt |