Printed on a Federal Reserve note is this statement:THIS NOTE IS LEGAL TENDER FOR ALL DEBTS, PUBLIC AND PRIVATE. This reflects moneys function as

BANKING GENERAL KNOWLEDGE

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

Printed on a Federal Reserve note is this statement:“THIS NOTE IS LEGAL TENDER FOR ALL DEBTS, PUBLIC AND PRIVATE. “ This reflects money’s function as

A	all of these
B	store of value
C	medium of exchange
D	portability

Explanation:

Detailed explanation-1: -It is defined as such because it states that “this note is legal tender for all debts, public and private, ” indicating a promise for the government and private citizens to accept and honor the note as legal tender.

Detailed explanation-2: -Federal Reserve Notes, also United States banknotes, are the currently issued banknotes of the United States dollar.

Detailed explanation-3: -noun. : a currency note issued by the Federal Reserve banks and secured by a gold-certificate reserve of 25 percent and the balance of 75 percent in gold certificates, commercial paper, or U.S. government obligations.

Detailed explanation-4: -Legal Tender: Legal tender refers to the money which can be legally used to make payments of debts or other obligations. Fiat money: Fiat money refers to the money which is backed with the order of the government under law. It must be accepted for all debts.

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