Any item that people can use to transfer purchasing power from the present to the future is called
A)a medium of exchange.
B)a unit of account.
C)a store of value.
D)None of the above is correct.

Question

Quizplus · Accepted Answer

A store of value refers to any item that can hold its value over time and can be used to transfer purchasing power from the present to the future. Medium of exchange refers to an item that is widely accepted as payment for goods and services, while a unit of account refers to a standard measure for expressing the value of goods and services. None of the above is incorrect because all three terms are important concepts in the study of money and economics. However, the best choice for the given question is C.

Any Item That People Can Use to Transfer Purchasing Power