Refiloe won a lottery prize of r₁ million.She put the money in the bank to save it for her daughter's university education.For Refiloe, money was functioning primarily as a
A)unit of account.
B)store of value.
C)means of payment.
D)type of short term loan.

Question

Quizplus · Accepted Answer

Refiloe put the money in the bank to save it for her daughter's university education, indicating that she intends to use the money as a store of value, or a way to preserve her wealth for future use. Additionally, the fact that Refiloe did not immediately spend the money suggests that it was not primarily functioning as a means of payment or a type of short term loan. While money can also serve as a unit of account, there is no clear indication in the scenario that Refiloe used the r₁ million as a means of measuring the value of other goods or services.

Refiloe Won a Lottery Prize of R₁ Million