Question

There was difficulty in future payments under barter system due to ______.

Options

• Lack of divisibility

• Lack of common measure of value

• Lack of storage system

• Lack of standard of deferred payments

Answer 1

There was difficulty in future payments under barter system due to lack of standard of deferred payments.

Explanation:

“Deferred payments” refers to future repayments, loans, and credit transactions. Making future payments using physical products was extremely difficult under the barter system because commodities can readily perish, lose market value, or change in quality over time.