Question

Purchasing common stock by writing a cheque best exemplifies money serving as a(n):

a. measure of value
b. means of exchange
c. index of satisfaction
d. store of purchasing power
e. standard of deferred payments

Answer 1

Money serving as a means of exchange is exemplified when purchasing common stock by writing a cheque.

Step-by-step explanation:

The act of purchasing common stock by writing a cheque best exemplifies money serving as a means of exchange. This is because the individual is using money to facilitate the exchange of the common stock with the payment instrument being a cheque.

Money serves as a medium of exchange when it is used to purchase goods, services, or financial assets like common stock.