Which of the Following Illustrates the Medium-Of-Exchange Function of Money

question 41

Multiple Choice

Which of the following illustrates the medium-of-exchange function of money?

• A) writing a check to buy a new Volkswagen
• B) noting that the price of a $20,000 Volkswagen is 16,000 euros
• C) keeping $20,000 in cash in your mattress instead of buying a new Volkswagen
• D) driving your $20,000 Volkswagen to a friend's house

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Definitions:

Rice Prices

The cost or price at which rice is bought and sold, which can fluctuate based on various economic factors.

Plains Indians

Native American tribes who lived on the Great Plains of the United States and Canada, known for their nomadic lifestyles and dependence on bison.

Nomadic Way of Life

A lifestyle characterized by moving from one place to another rather than settling permanently in one location, often for reasons such as following seasonal food sources.

Game Hunting

The pursuit and killing or capturing of wild animals, primarily for food or sport.