The Functions of Money Are

question 154

Multiple Choice

The functions of money are

• A) medium of exchange and the ability to buy goods and services.
• B) medium of exchange, unit of account, and store of value.
• C) pricing, contracts, and means of payment.
• D) medium of exchange, unit of account, and means of payment.

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Definitions:

Operating Activities

The section of a company's cash flow statement that reveals the cash generated or used in the company’s primary business operations.

Interest Expense

The expense an entity faces for using borrowed capital over a specific time frame.

Inventory Turnover

A financial ratio that measures how often a company's inventory is sold and replaced over a specific period.

Net Profit Margin

A financial metric that shows the percentage of revenue that remains as profit after all expenses, interest, and taxes have been deducted.