Suppose you are offered a new smartphone in exchange for thirty hours of your work in your friend's garden. This is an example of
A)money as a medium of exchange.
B)money as a store of value.
C)barter.
D)money as a standard of deferred payment.

Question

Quizplus · Accepted Answer

This scenario illustrates the concept of barter, which involves exchanging goods or services directly without the use of money. In this case, the new smartphone is being exchanged for the 30 hours of work in the friend's garden. Money is not being used as a medium of exchange, store of value, or standard of deferred payment, as there is no direct use of currency or promise of payment in the future.

Suppose You Are Offered a New Smartphone in Exchange for Thirty