Role of Money & Ways to Pay

Sophia, Matilda, and Emily are discussing the role of money. Sophia believes it's to be used as a store of value, Matilda thinks it's to be used as a means of exchange, Emily says it's to be used as a unit of account, and their teacher suggests it's legal tender. Who is correct?

• Sophia - To be used as a store of value

• Matilda - To be used as a means of exchange

• Emily - To be used as a unit of account

• Teacher - To be used as legal tender

• They are all correct

Samuel is at a store and wants to make a purchase. He is under 18. What are the different ways Samuel can pay for his items?

• Contactless Card

• Credit Card

• Cash

• BACS

Isla, Anaya, and Samuel are planning to invest their savings. Which of the following are some of the financial products they could consider?

• Shares

• Premium Bonds

• ISA

• Loan

Ella is interested in learning about some financial services. She has a list which includes Banking, Investing, Retirement Planning, and Financial Advising. Which one is a financial service?

• Banking

• Investing

• Retirement Planning

• Financial Advising

Lily is confused about the difference between a financial product and a financial service. Can you help her understand?

• Tell Lily that a financial product is physical and a financial service is intangible

• Explain to Lily that a financial product is tangible and a financial service is intangible

• Inform Lily that a financial product is used to buy goods and services and a financial service is used to invest

• Clarify to Lily that a financial product is used to invest and a financial service is used to buy goods and services

Aarav, Eesha, and Benjamin are discussing the primary purpose of money while trading their comic books. According to them, what is the primary purpose of money?

• To be a store of value

• Unit of account

• Legal Tender

• To serve as a medium of exchange

• All of the above

Sebastian went to a store with Max and Arthur. They had a discussion about the difference between cash and credit. Can you tell what is the difference?

• Sebastian said, 'Cash is used for online purchases and credit is used for in-person purchases'

• Max said, 'Cash is used for in-person purchases and credit is used for online purchases'

• Arthur said, 'Cash is used for buying goods and services and credit is used for investing'

• Max said, 'Cash is used for investing and credit is used for buying goods and services'

Alexander wants to buy a book online and Aarav wants to buy a toy in a toy store. Who should use a cheque and who should use a debit card?

• Alexander should use a cheque for his online purchase and Aarav should use a debit card for his in-person purchase

• Alexander should use a debit card for his online purchase and Aarav should use a cheque for his in-person purchase

James, Leo, and Neha are discussing investments. James says a bond is a loan and a stock is an ownership stake, while Leo thinks a bond is used to buy goods and services and a stock is used to invest. Neha believes a bond is used to invest and a stock is used to buy goods and services. Lastly, Leo suggests a bond is an ownership stake and a stock is a loan. Who is correct?

• Leo, who thinks a bond is used to buy goods and services and a stock is used to invest

• Neha, who believes a bond is used to invest and a stock is used to buy goods and services

• James, who says a bond is a loan and a stock is an ownership stake

• Leo, who suggests a bond is an ownership stake and a stock is a loan

Anaya, Arthur, and Benjamin are discussing the roles of different financial institutions. They are trying to understand the difference between a bank and an insurance company. Can you help them?

• Anaya thinks a bank provides loans and an insurance company provides investments

• Arthur believes a bank provides investments and an insurance company provides loans

• Benjamin suggests a bank provides financial services and an insurance company provides financial products

• They all agree that a bank provides financial products and an insurance company provides financial services