Function of money

Question 1

Medium of exchange

Answer 1

A medium of exchange is accepted in exchange for a goods or service.

Question 2

Measure of value / unit of accounting

Answer 2

Money allows us to compare the value and worth of different goods.

Question 3

Store of value

Answer 3

This means that money can be stored and save for future use.

Question 4

Standard of deferred paymemt

Answer 4

Make contract to be pay for goods and serviced sometime later on.