Credit Cards Serve as a Temporary Medium of Exchange but Are

question 95

True/False

Credit cards serve as a temporary medium of exchange but are not a store of value; therefore, they are do not qualify as a form of money.

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Definitions:

Principals

Individuals or entities that engage an agent to act on their behalf in transactions or negotiations.

Agency Relationship

A legal arrangement in which one party, the agent, is authorized to act on behalf of another, the principal, in business transactions.

Liable

Bound by law or duty.

Contract

A legally binding agreement between two or more parties that outlines obligations and rights.