Money and Methods of Payment

Which of the following is a function of money?

• Medium of Exchange

• Standard/ Measure of Value

• Store of Value

• Method of Payment

Why must money be durable?

• To exist forever

• To be a store of value

• To be a medium of exchange

• To save costs on making more

The usage of "pieces of eight" by the Spanish Empire represents which characteristic of money?

• Portable

• Divisible

• Limited Supply

• Uniform

An object that has value in and of itself, and can be used as money is the definition of what type of money?

• Commodity Money

• Representative Money

• Fiat Money

Money that has value because the government says it has value is the definition of what type of money?

• Commodity Money

• Representative Money

• Fiat Money

Money that has value because the owner can exchange it for something else is the definition of what type of money?

• Commodity Money

• Representative Money

• Fiat Money

Gold, Gems and Salt are examples of what type of money?

• Commodity Money

• Representative Money

• Fiat Money

Which of the following has the benefit of being easier to negotiate with?

• Barter System

• Currency

• Debit Card

• Credit Card

Which of the following allows you to access your money without carrying cash?

• Barter

• Currency

• Debit Card

• Credit Card

Which of the following methods of payment makes it very easy to rack up large sums of debt?

• Barter

• Currency

• Debit Card

• Credit Card