BUSINESS ADMINISTRATION
BUSINESS LAW
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Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
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Negotiable
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Money
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Instrument
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Commercial Paper
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Detailed explanation-1: -Currency is accepted as a medium of exchange because, 1. The currency is authorised by the government of the country. 2. In India, the Reserve Bank of India issues currency notes on behalf of the Central Government.
Detailed explanation-2: -Modern currency is accepted as a medium of exchange because it is authorized by the central government of a country. 2. In India, RBI issues the currency notes and it is illegal for any other organization or individual to issue the currency. 3.
Detailed explanation-3: -Money-It refers to the currency and coins which are in circulation and legal tender Importance of-Studocu.
Detailed explanation-4: -In this case, we accept the value of the money because the government says it has value and other people value it enough to accept it as payment. For example, I accept U.S. dollars as income because I’m confident I will be able to exchange the dollars for goods and services at local stores.