Currency

What is currency made of?

• Coins and paper money.

• Credit cards and checks.

• Gold and silver

Which of the following is NOT a factor that can affect the foreign exchange rate?

• Economic conditions

• interest rates

• Political events

• The weather

What is the most widely used currency in international transactions?

• US dollar

• Euro

• Japanese yen

• Bitcoin

Which of the following is true about Bitcoin?

• It is not supported by any tangible assets or government.

• It is supported by a government's tangible assets.

• It is stable and reliable currency.

• It is not a high risk investment.

What is exchange rate?

• The rate at which one currency can be exchanged for another.

• The values of a currency relative to to currencies.

• The market demand for a currency.

• The frequency and magnitude of changes in the exchange rate.

A central bank is

• responsible for issuing and circulating a countries currency within economic system.

• responsible for printing currency to stop inflation.

• were we make deposits and withdrawls based on our dividends.

What are the functions of money (currency)? Pick all that apply

• store of value

• unit of account

• medium of exchange

• inflation

• deflation

Inflation is the rate of increase in prices over a given period of time.

• False

• True

The purpose and fucntion of currency in any economy is to ___________.

• set of assets that are generally used.

• accepted as a medium of exhange for goods and services.

• Barter system of economic growth

• Financial asset

What is Cryptocurrency primarily used for?

• online gaming

• social media

• digital or virtual money