WebThus the money we use today is in the form of currency notes and coins, which are durable, uniform, divisible (can be divided into 10’s, 50’s , 100’s etc), portable and is generally accepted. These are the characteristics of what is considered ‘good money’. The functions of money: Money is a medium of exchange, as explained above. WebMar 23, 2024 · Is Bitcoin a kind of money? Economists say that money performs three functions. It serves as: A unit of account: It helps people understand how much wealth they have.; A medium of exchange: People ...
Function of money
WebDec 26, 2013 · These are functions/utilities derived from the primary functions of money viz. (1) Medium of exchange (2) Measure of Value. #S1: As a store of value Money= medium of exchange, measure of value, durable, takes little space, most liquid among all assets, readily accepted=> hence money is a reliable store of value. WebThe money supply is the stock of money in the economy. It is determined by the uses to which certain physical and financial assets are put. For example, in many cultures in the past, shells have been used as money. In those … how long to keep personal data gdpr
Functions of Money (7 Answers) - Learn Accounting: Notes, …
WebThe following points highlight the top six functions of money. Function # 1. A Medium of Exchange: The only alternative to using money is to go back to the barter system. … WebJun 1, 2024 · 3 Functions of Money. Economically, consumers depend on money for many reasons. Buying goods, paying for services, funding investments and saving for a rainy day are just a few of money's applications. But beyond the long list of its applications, the actual functions of money cover three general categories: Medium of Exchange. WebMar 16, 2024 · Money and Banking class 12 Notes Economics. Money: Money may be defined as anything which is generally acceptable as a medium of exchange and at the same time acts as a measure, store of value and standard of deferred payment. Functions of Money: 1. Primary Functions. a. Medium of exchange. b. Common measure of value or … how long is maharajah jungle trek