Financial markets Flashcards
1
Q
What are the key functions of money
A
Medium of exchange
Store of value
Unit of account
Standard of deferred payment
2
Q
Standard of deferred payment
A
Refers to any asset whose value can be used now or used in the future
3
Q
What is a liquid asset
A
An asset than can be easily acquired or disposed of without high costs and with relative certainty as to its value
4
Q
Whats the most liquid asset
A
Cash
5
Q
A
