ECONOMICS
SAVING AND INVESTING
|
Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
|
What function of money assigns value to a good or service
|
|
Measure of value,
|
|
|
Medium of exchange
|
|
|
Standard of deferred payment
|
|
|
Store of value
|
Explanation:
Detailed explanation-1: -Money also functions as a unit of account, providing a common measure of the value of goods and services being exchanged.
Detailed explanation-2: -Money must serve as a measure of value and a medium of exchange. Q. Medium of exchange is a primary function of money.
Detailed explanation-3: -Money has a store of value because it is an asset that can be invested, stored in a bank, left in a safe at home, and then later used to purchase something in the future. Store of value is an important money function because it helps facilitate trade in the future.
Detailed explanation-4: -Money serves several functions: a medium of exchange, a unit of account, a store of value, and a standard of deferred payment.
There is 1 question to complete.