Which of the following best fits the definition of money?
A)any medium of exchange
B)an obligation between the parties to a transaction
C)gold
D)any commodity or token that is generally acceptable as a means of payment
E)any unit of account

Question

Quizplus · Accepted Answer

The definition of money is any commodity or token that is generally acceptable as a means of payment. Choice D best fits this definition. Choices A and B describe functions of money, but do not fully capture the definition of money. Choice C describes a specific form of money, but not the concept of money as a whole. Choice E describes another function of money, but does not capture the full definition.

Which of the Following Best Fits the Definition of Money