The unit of account is an agreed upon measure for stating the prices of goods and services in an economy. It allows for easier comparison and calculation of relative values. This does not refer to the quantity of currency or goods produced, or the value stored within assets.

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The Unit of Account

Question 25

Multiple Choice

The unit of account

A) is a type of accounting of how many currency units there are in an economy.
B) is an accounting of the total units of goods and services produced in an economy.
C) is an agreed measure for stating the prices of goods and services in an economy.
D) is a type of value stored within all assets.

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