Money's function as a unit of account can best be described as
A)a generally accepted medium of exchange.
B)a commodity that can be exchanged for another commodity.
C)an entry in an accounting ledger.
D)an agreed- upon measure for stating the prices of goods and services.
E)a method of recording transactions.

Question

Quizplus · Accepted Answer

Money functions as a unit of account when it is used as an agreed-upon measure for stating the prices of goods and services. This allows for easier comparison and calculation of values, as prices can be expressed in a common currency.

Money's Function as a Unit of Account Can Best Be