Suppose You Use Your Debit Card to Buy Soda from a Soda

question 12

Multiple Choice

Suppose you use your debit card to buy soda from a soda machine. Which of the following is true regarding the transaction?

• A)The debit card is not money; it's only an instruction to make a loan.
• B)The debit card is money; your use reflects the exchange of a good.
• C)The debit card is not money; its use is only a tool to cause money to move from your account.
• D)Your use makes the debit card money as funds are transferred between your and the machine owner.
• E)Using the debit card is like using a check and is, therefore, money.

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Definitions:

Security B

A distinct category of financial assets that can include stocks, bonds, options, and futures, offering various investment and risk profiles.

Weights

Factors or coefficients that are assigned to elements of a calculation or model to determine their relative importance or impact.

Standard Deviation

A quantifiable statistical metric that indicates the degree of spread or variability in a dataset.

Portfolio

A portfolio is a collection of financial investments like stocks, bonds, commodities, cash, and cash equivalents, including mutual funds and ETFs.