The function of money illustrated by the prevailing prices of goods and services is the
A) medium of exchange function.
B) unit of account function.
C) standard of deferred payments function.
D) store of value function.
Ans: B) unit of account function.
You might also like to view...
Which of the following is most likely to cause the demand curve in the capital market to shift leftward?
A) Government borrows to finance a war. B) All firms project higher future revenue streams for all of their projects. C) All firms project lower future revenue streams for all of their projects. D) Government institutes a high tax on savings.
Suppose that when the price of oranges is $3 per pound, the quantity demanded is 4.7 tons per day and the quantity supplied is 3.9 tons. In this case:
A. excess supply will lead the price of oranges to rise. B. excess supply will lead the price of oranges to fall. C. excess demand will lead the price of oranges to fall. D. excess demand will lead the price of oranges to rise.
Since 2000, developing countries received large net capital inflows in the form of
A. official loans from foreign governments and the International Monetary Fund (IMF). B. debt service. C. foreign direct investments. D. short-term lending.
A disadvantage of corporations over a proprietorship or partnership is in the
A) legal liability. B) ability to raise funds. C) taxation system. D) future of the firm when an owner dies.