Why Might a Company Use Barter Rather Than Money to Make

question 82

Multiple Choice

Why might a company use barter rather than money to make a transaction?

• A) Barter is generally more efficient than money exchanges.
• B) Barter can enable two firms to trade when their cash flows are limited.
• C) Money requires a coincidence of wants but barter is more direct.
• D) Money is economically efficient for large transactions,but barter is preferred for smaller transactions.

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Definitions:

Heightened Awareness

An enhanced state of sensory perception, attentiveness, or consciousness towards the surrounding environment or internal states.

Flow

A mental state of deep focus and immersion in activities, where individuals lose a sense of time and self-awareness.

Intrinsic Motivation

The drive to engage in an activity for its own sake and personal rewards, rather than external pressures or rewards.

Extrinsic Motivation

Motivation driven by external rewards such as money, praise, or avoidance of punishment, rather than by intrinsic interest or enjoyment in the task itself.