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When money is legally accepted and has a recognized value it is a __________.

a. legal tender
b. universal good
c. granted property
d. reimbursed currency

2 Answers

3 votes

When money is legally accepted and has a recognized value it is a legal tender. Option A is correct.

Legal tender is a medium of payment recognized by a legal system to be valid for meeting a financial obligation. For instance, paper currency and coins are common types of legal tender in several countries. Legal tender is defined in different jurisdictions in different ways.

Personal cheques, credit cards, and other non-cash methods of payment are not generally considered legal tender.

User Nick R
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When money is legally accepted and has a recognized value it is a "legal tender", since it cannot be refused by vendors within the country that has claimed it as such. 
User Vader
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