Purchasing common stock by writing a cheque best exemplifies money serving as a:
A)store of value.
B)unit of account.
C)medium of exchange.
D)index of satisfaction.

Question

Quizplus · Accepted Answer

Purchasing common stock by writing a cheque involves using money as a medium of exchange, as the cheque represents a transfer of funds from the purchaser's account to the seller's account. Money as a store of value refers to its ability to hold its purchasing power over time, while money as a unit of account refers to its role in measuring the value of goods and services. Money as an index of satisfaction is not a recognized function of money.

Purchasing Common Stock by Writing a Cheque Best Exemplifies Money