1. To say money is socially defined means that:
A) the money supply includes all public and private securities purchased by society.
B) whatever performs the functions of money extremely well is considered to be money.
C) society, acting through Congress, specifies what shall be included in the money supply.
D) money has been defined in a Constitutional amendment.
2. Money functions as:
A) a medium of exchange.
B) a store of value.
C) a unit of account.
D) all of these.
3. If you are estimating your total expenses for school next semester, you are using money primarily as:
A) a store of value.
B) an economic investment.
C) a unit of account.
D) a medium of exchange.
4. If you place a part of your summer earnings in a savings account, you are using money primarily as a:
A) medium of exchange.
B) store of value.
C) standard of value.
D) unit of account.
5. If you write a check on a bank to purchase a used Honda Civic, you are using money primarily as:
A) a store of value.
B) a medium of exchange.
C) a unit of account.
D) an economic investment.
6. A $70 price tag on a sweater in a department store window is an example of money functioning as a:
A) standard of deferred payments.
B) medium of exchange.
C) unit of account.
D) store of value.
7. Stock market price quotations best exemplify money serving as a:
A) index of satisfaction.
B) store of value.
C) medium of exchange.
D) unit of account.
8. Purchasing common stock by writing a check best exemplifies money serving as a:
A) medium of exchange.
B) unit of account.
C) index of satisfaction.
D) store of value.
