Mr. X gives the store clerk a $5 bill for an item costing $3.79. He receives a one-dollar bill, two dimes and a penny in change. This transaction illustrates the principle that an item used as money must be

BANKING GENERAL KNOWLEDGE

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Question [CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]

Mr. X gives the store clerk a $5 bill for an item costing $3.79. He receives a one-dollar bill, two dimes and a penny in change. This transaction illustrates the principle that an item used as “money” must be

A	durable.
B	portable.
C	divisible.
D	green.

Explanation:

Detailed explanation-1: -Answer: Six coins: 3 quarters + 2 dimes + 1 nickel = 1 dollar.

Detailed explanation-2: -We know that one penny = one cent. Therefore, the value of a penny is one cent or 0.01 dollars. Here are two pennies. Its value is two cents or 0.02 dollars.

Detailed explanation-3: -A dime is worth 10 cents. The penny, also called the one-cent coin, is worth 1 cent. Therefore, a dime coin is worth the same value as ten one-cent coins (pennies).

Detailed explanation-4: -A savings account is a deposit account designed to hold money you don’t plan to spend immediately. This is different from a checking account, a transactional account meant for everyday spending, allowing you to write checks or make purchases and ATM withdrawals using a debit card.

There is 1 question to complete.