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Barter System & Functions of Money

Total questions: 11

Worksheet time: 6mins

Name
Class
Date
1.

Easily transferred from one person to another, to make the exchange of money for goods/services easier

a)

Durability

b)

Divisibility

c)

Portability

d)

Scarcity

2.

Money has what if it doesn't deteriorate when it is being handled?

a)

Scarcity

b)

Divisibility

c)

Durability

d)

Portability

3.

Money has what if it can be broken down into smaller units so it can be used as needed?

a)

Divisibility

b)

Portability

c)

Scarcity

d)

Durability

4.

What is money if it is available but only in a limited supply?

a)

Portable

b)

Durable

c)

Divisible

d)

Scarce

5.

Money or other items generally accepted as payment for goods and services.

a)

Measure of value

b)

Medium of exchange

c)

Scarcity

d)

Store of Value

6.

This can be used in place of money.

a)

Fiat money

b)

Cash

c)

National currency

d)

Trading or bartering

7.

What are the functions of money?

a)

Unit of account

b)

Store of Value

c)

Medium of Exchange

d)

Store of Bank Notes

e)

Measure of Value

8.

The function of money which allows people to preserve value for future use.

a)

Store of value

b)

Divisibility

c)

Portability

d)

Measure of value

9.

Which of the following statements explain why a barter system restricts exchange?

a)

There must be a coincidence of wants

b)

It is difficult to divide certain commodities

c)

The commodities used are not homogeneous

d)

A rate of exchange must be determined

10.

Which of the function is NOT a function of money?

a)

Indivisibility

b)

Measure of value

c)

Store of value

d)

Medium of exchange

11.

Barter is BEST described as the

a)

Purchase of goods and services using cheques

b)

Exchange of goods and services using notes and coins

c)

Process of exchange involving the use of money

d)

exchange of goods and services without the use of money