When Prisoners Use Cigarettes or Some Other Good as Money,cigarettes

question 73

Multiple Choice

When prisoners use cigarettes or some other good as money,cigarettes become

• A)commodity money,but do not function as a unit of account.
• B)commodity money and function as a unit of account.
• C)fiat money,but do not function as a unit of account.
• D)fiat money and function as a unit of account.

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Definitions:

Actual Cost

The true expenditure incurred for manufacturing, operations, or project activities.

Direct Material

Materials directly related to the production of a product, which can be specifically identified as part of the product and form a large part of its manufacturing cost.

Per Pound

A unit of measure used to express the price or cost of a commodity, production materials, or shipping rates based on weight in pounds.

Materials Price Variance

The difference between the actual cost of materials and the standard cost, multiplied by the quantity of materials purchased.