Question

Money 1. In each of the following scenarios, indicate which function of money illustrated: You use your debit card to purchase textbooks for a class b. a. You take a summerjob and hold on to the funds for use during the coming semester You choose between two coffeemakers by considering how many hours you have to work to afford each After getting your firstjob, you sign up for automatic deductions from your paycheck to deposit into a retirement account C. d.

Answer 1

A - money as the medium of exchange

In this condition the books are exchange for money which is paid from the debit card ( a form of plastic money).

B - Money as store of value.

In this condition the money is being saved for the future so as to join the summer job. Hence the value of the money can be stored without the change in its value.

C - money as a measure of value

Money helps of measure a commodity or a service in monetary terms just facilitates the exact valuation and makes the task easy.

D - Store of value

In this condition also , a part of the money is being deducted from one place and is getting stored into another account. Its value will not change with time. Hence this will be called the store of value.