Question

The functions of money include

• A. value determination
• B. store of value
• C. means of exchange
• D. all of these

Hint:

Money has three key roles: it's a medium for exchange, a unit for accounting, and a store of value. All options listed fit these roles.

Answer 1

The Correct Option is D

This question asks for the overall functions of money, not just the primary ones. The main functions of money are:

Medium of Exchange: It is used to carry out transactions. (Same as "means of exchange").
Unit of Account: It is used to measure and state the price of goods and services. (Same as "value determination").
Store of Value: Money allows purchasing power to be saved and used in the future. While its value can erode due to inflation, it is more liquid than other assets.
Since all three listed options are universally recognized functions of money, the correct answer is (D).