Which of the following is the best definition of money?
A) Anything generally accepted as payment for goods or repayment of debt
B) Anything that can be converted to a liquid asset
C) A national currency that is backed by gold or other precious metals
D) Paper or coin currency that is produced by the Federal Reserve

Question

Quizplus · Accepted Answer

Money is generally defined as anything that is generally accepted as payment for goods or repayment of debt. This can include paper or coin currency, digital currencies, and even commodities such as gold or silver that have historically been used as a standard for currency. It is the medium of exchange in transactions and represents a store of value. Choices B, C, and D are not comprehensive enough to fully capture the definition of money.

Which of the Following Is the Best Definition of Money