Question

Match each term to the situation that best describes it. Tiles not having enough money for the shoes you want getting change when you pay for an $18.50 purchase with a $20 bill paying for something in Florida with the money you withdrew from an atm in California using money to buy items at the store using a dollar printed in 2005 in a vending machine knowing that your job pays you a certain amount per hour putting money in your pocket a nickel that the US mint minted last year looks the same as the nickels they minted this year paying for items using a debit card can charge high interest rates if the amount due is not paid monthly pairs unit of account divisibility durability portability both a credit card limited supply medium of exchange uniformity acceptability.

Answer 1

The question involves matching terms related to the characteristics of money with appropriate scenarios. It covers concepts such as unit of account, divisibility, durability, portability, limited supply, medium of exchange, uniformity, acceptability, and the use of a credit card. Credit and debit cards are mediums for money transfer but do not change the money supply.

Step-by-step explanation:

To answer the student's question of matching terms to scenarios that best describe them, we need to understand the characteristics of money. Let's take a look at how the scenarios match the fundamental features of money.Credit cards, debit cards, and smart cards facilitate different methods of transferring money during a transaction but do not, themselves, constitute an increase in the quantity of money within the economy.

Plastic money like debit cards, credit cards, and smart money fit into the picture of money as a medium of exchange, a unit of account, and a store of value. While debit cards instruct the user's bank to transfer money directly from their bank account to the seller, credit cards are considered a short term loan from the credit card company. Smart cards can store a certain value of money and be used for specific purchases or in certain places.

In summary, plastic money is a modern form of money that provides convenience and flexibility in making purchases. Debit cards allow immediate transfers of money, credit cards provide short term loans, and smart cards store a specific value of money for specific purposes.