Functions of Money
Economics ⇒ Money and Banking
Functions of Money starts at 10 and continues till grade 12.
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See sample questions for grade 12
Describe how money acts as a standard of deferred payment.
Describe the importance of money as a unit of account in a modern economy.
Describe the role of money in the basis of credit system.
Explain how money facilitates the transfer of value between individuals and regions.
Explain how money helps in the distribution of national income.
Explain the difference between the primary and secondary functions of money.
Explain the function of money as a store of value.
Explain the role of money in providing liquidity to wealth.
Which function of money helps in expressing the price of goods and services? (1) Store of value (2) Medium of exchange (3) Unit of account (4) Standard of deferred payment
Which function of money is being used when a business sets the price of its products? (1) Store of value (2) Unit of account (3) Medium of exchange (4) Standard of deferred payment
Which function of money is being used when a person pays for a product using cash? (1) Store of value (2) Medium of exchange (3) Unit of account (4) Standard of deferred payment
Which function of money is being used when a person saves cash for future use? (1) Store of value (2) Medium of exchange (3) Unit of account (4) Standard of deferred payment
Money acts as a ________ when it is used to settle debts payable in the future.
Money as a ________ allows people to make contracts and agreements for future payments.
Money as a ________ allows people to postpone their purchases and payments to a future date.
Money as a ________ allows people to save their wealth in a convenient form.
True or False: Money as a store of value is not affected by inflation.
True or False: Money can be used to transfer value from one place to another.
True or False: Money eliminates the need for double coincidence of wants in a barter system.
True or False: Money is always a perfect store of value.
