Dollar is a financial asset because it represents the medium of exchange and is therefore the basis on which all transactions are measured and recognised in financial statements.

What is a financial asset because it represents the medium of exchange and is therefore the basis on which all transactions are measured and recognized in financial statements?a.Goalb.Currencyc.Objectived.Contract

The U.S. dollar is a currency made of low-cost materials. It is valuable only because it is recognized by the U.S. government, which is a powerful global authority. This means that the U.S. dollar serves as which type of money?A.Currency moneyB.Commodity moneyC.Fiat moneyD.Representative money

Which of the following statement is TRUE about the economic functions of money?Group of answer choicesAll available answersMoney serves as a ‘Means of Payment’ since it can be viewed as a mechanism for exchange of goods or services in all types of transactions.Money acts as an ‘Unit of Account’ where, in the pricing of items, it becomes a standard unit of measurement of the value of goods or services.Money serves as a 'Store of Value' in that assets held in the form of money can be used as an investment for future use.

The monetary concept refers to:recognising only cash transactions in the financial statements.measuring all items in the financial statements in monetary terms.recognising cash in the financial statements.recognising all items in the financial statements even if they cannot be measured in monetary terms.

Money isA) anything that is generally accepted in payment for goods and services or in the repaymentof debt.B) a flow of earnings per unit of time.C) the total collection of pieces of property that are a store of value.D) always based on a precious metal like gold or silver