Randhir asked Mugdha, " Can i get Rs 50,000 from you, i will return it back to you on the 1st of the coming month". According to you, which function of money is being referred to here? |
Unit of value Medium of exchange Store of value Standard of deferred payments |
Standard of deferred payments |
Deferred payments refers to payments made in future. Money has made it possible for people to borrow, lend etc. As, money has a constant value throughout it overcomes all the problems associated with future payments. |