Which of the Point(s)below Is (Are)true of Money

question 20

Multiple Choice

Which of the point(s) below is (are) true of money?
1) Money eliminated the need for barter.
2) Money allowed for specialization of labour and expansion of trade.
3) Money facilitated the development of a market economy.
4) Trade did not take place before the introduction of money.

• A)only 1.
• B)only 1 and 2
• C)Only 1 and 4
• D)Only 1,2,and 3.
• E)All of the points are true.

---

Definitions:

Work in Process

Inventory items that are in the production process but are not yet complete.

Predetermined Overhead

An estimated rate used to allocate manufacturing overhead costs to products based on planned activity levels.

Underapplied Overhead

A situation where the allocated manufacturing overhead costs are less than the actual overhead costs incurred, leading to an underestimation of product costs.

Practical Capacity

The maximum production level that a company can sustain with the current resources and conditions in a realistic manner.