Surplus Definition
A surplus is an amount of money or goods that is more than what is needed. The term can be used to describe a financial situation, as well as a physical one.
In terms of finances, a surplus occurs when income is greater than expenses. This can happen on a personal level, such as when an individual has more money coming in than they have going out. It can also happen on a larger scale, such as when a government has more revenue than it spends. A surplus can be saved or invested, and often leads to economic growth.
A physical surplus occurs when there is more of something than what is needed. This can happen with food, clothing, or any other type of goods. When there is a surplus of goods, prices usually go down since there is more competition among sellers. A surplus can also lead to waste if the excess goods are not used or disposed of properly.
