2. MONEYMONEY
• Definition ofDefinition of
moneymoney
is a medium of exchange,is a medium of exchange,
usually in the form of notesusually in the form of notes
and coins, which is acceptedand coins, which is accepted
by a company for theby a company for the
payment of goods, servicespayment of goods, services
and all kinds of obligations.and all kinds of obligations.
Its etymology leads the LatinIts etymology leads the Latin
word denarius, which was theword denarius, which was the
name of the currency used byname of the currency used by
the Romans.the Romans.
3. WHAT IS THE MONEY?WHAT IS THE MONEY?
Any generally accepted medium of exchange forAny generally accepted medium of exchange for
the payment of goods and services andthe payment of goods and services and
repayment of debts. Money also serves as arepayment of debts. Money also serves as a
measure of value to assess the relative low pricemeasure of value to assess the relative low price
of various goods and services.of various goods and services.
4. MONEYMONEY
• Money serves three basic characteristics: it is a mediumMoney serves three basic characteristics: it is a medium
of exchange, it is easy to store and transport; It is a unitof exchange, it is easy to store and transport; It is a unit
of account, and to measure and compare the value ofof account, and to measure and compare the value of
products and services that are very different from eachproducts and services that are very different from each
other; and is a haven of value, enabling savings.other; and is a haven of value, enabling savings.
