Money and Banking

Front

What is money generally accepted as?

Back

An item generally accepted as a means of payment.

Front

Name the main forms of money used in most countries.

Back

Coins, banknotes, and bank accounts.

Front

Which form of money is often used to make small purchases?

Back

Coins.

Front

What is ‘legal tender’?

Back

Payment forms that by law must be accepted to settle debts.

Front

Are bank accounts considered legal tender?

Back

No.

Front

Name three types of digital currency.

Back

Cryptocurrencies, stablecoins, central bank digital currencies (CBDCs).

Front

Which type of digital currency is highly volatile and mainly used for investment?

Back

Cryptocurrency (e.g., Bitcoin).

Front

What are stablecoins linked to?

Back

A major currency like the US dollar or a basket of goods.

Front

What is a CBDC?

Back

Digital currency issued by a central bank.

Front

Name two advantages of digital currency.

Back

Fast transfers and low transaction costs.