Money functions as a while providing a common measure of goods and services being exchanged.

store of value

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unit of account

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deferred payment

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medium of exchange

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Solution

The correct option is B unit of account
Knowing the price of a good, in terms of money, enables both the supplier and the purchaser of the good to make decisions about how much of the good to supply and how much of the good to purchase.

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Similar questions

The function by which money acts as a standard measure of market value for goods, services and other transactions is called ___.

Money which is bound to be accepted by law in exchange for goods and services and in the discharge of debts is called

___ refers to a social process whereby people exchange goods and services for money or for something of value to them.

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