Question

When you compare the prices of two different pairs of shoes, money is a _____.

medium of exchange
store of value
unit of account

Answer 1

unit of account is the answer

Answer 2

The correct answer is option C, unit of account

Step-by-step explanation:

Here the two commodities are two different pair of shoes which are compared on the basis of their price. Thus price of the shoes will be a factor of distinction between the two set of shoes. In general, whatever factor of distinction is used for comparing two different things is basically the unit of account. Like wise there can be other unit of account for the distinguishing same set of shoes –

a) Colour of the shoes

b) Raw material used for shoes

c) Lace design. Etc