Question

Statement 1: The primary function of money is to act as a ‘store of value’.

Statement 2: Money helps in monetary expression of the market value of the commodity.

पर्याय

• Both Statement 1 and Statement 2 are true.

• Both Statement 1 and Statement 2 are false.

• Statement 1 is true and Statement 2 is false.

• Statement 1 is false and Statement 2 is true.

Answer 1

Statement 1 is false and Statement 2 is true.

Explanation:

Statement 1 is incorrect because the main functions of money are serving as a medium of exchange and a measure of value, while the store of value is considered a secondary function. Statement 2 is correct, as money acts as a unit of account that enables the value of goods and services to be expressed in monetary terms.