Question

Which of the following correctly explains what is the barter system?

• A. Exchange of goods for other goods or services
• B. Buying something with money
• C. Giving pencils in exchange for a good or service
• D. Getting free gifts along with goods and services

Answer 1

The correct option is A

Exchange of goods for other goods or services

Barter System is a system where goods are exchanged for other goods and services. This was a system that was in practice before money was introduced.