What Is the "Unit of Account" Function of Money

question 6

Multiple Choice

What is the "unit of account" function of money?

• A) a common measurement of the relative value of different goods and services
• B) the ability of money to hold value over time
• C) the quality of money not to be hoarded because of its commodity value
• D) the function of money to be widely accepted I exchange for goods and services

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Definitions:

Halo Effect

A cognitive bias where an individual's overall impression influences their judgment about specific traits or abilities.

Personal Opinion

An individual’s view or judgment formed about something, not necessarily based on fact or knowledge.

Contrast Error

A bias in performance appraisal that occurs when evaluations are influenced by comparing employees against each other instead of against objective standards.

Subjective Measures

Evaluation or assessment methods based on personal opinions, interpretations, points of view, or feelings rather than quantifiable metrics.