List and describe the three functions of money.
Possible Answer: Money serves three functions: a medium of exchange, a
store of value, and a unit of account. Money serves the medium of exchange
function by eliminating the need for a barter system. In the form of currency,
money can be used for future purchases and allows people to “store value.”
Money is a unit of account, allowing people to measure the relative value of
goods and services.
Source: Business
Essentials, 8e (Ebert/Griffin) – Global Edition
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