Question : Assertion (A): Money as a medium of exchange, has overcome the problem of lack of double coincidence under the C-C economy.
Reason (R): Currency has a general acceptance which makes it convenient to use and has segregated buying and selling activities.
Option 1: Both Assertion (A) and Reason(R) are true and Reason (R) is the correct explanation of Assertion (A)
Option 2: Both Assertion (A) and Reason(R) are true, but Reason (R) is not the correct explanation of Assertion (A)
Option 3: Assertion (A) is true, but Reason (R) is false.
Option 4: Assertion (A) Is false, but Reason (R) is true.
Correct Answer: Both Assertion (A) and Reason(R) are true and Reason (R) is the correct explanation of Assertion (A)
Solution : The correct answer is (a) Both Assertion (A) and Reason (R) are true, and Reason (R) is the correct explanation of Assertion (A).
Assertion is true because in a C-C economy, direct exchange of goods and services requires a double coincidence of wants, meaning both parties involved in the exchange must want what the other party has to offer. Money eliminates this problem by serving as a universally accepted medium of exchange, allowing individuals to trade goods and services for money and then use that money to acquire other goods and services without the need for a direct coincidence of wants.
Reason is also true. Currency, as a widely accepted medium of exchange, is generally recognized and used by individuals and businesses for buying and selling goods and services. The use of currency streamlines economic transactions and separates the act of buying from the act of selling, facilitating trade and making economic activities more efficient.Reason (R) provides the correct explanation for Assertion.
Question : Assertion (A): Literacy is a part of education, which is a more general idea. Reason (R): If a person can read and write in any language, they are said to be literate. A person is considered educated if he or she can work and make a living.
Question : Assertion: Policies provide guidelines for decision-making in specific situations.
Reason: Policies are general and do not cover specific situations.
Question : Which of the following statement is correct? Statement 1: If the number of buyers is large then it is better to take the services of middleman for the distribution of the goods. Statement 2: Buyers can be of two types general buyers and industrial buyers.
Question : Which of the following statement is correct? Statement 1: Under offer for sale the company issues a prospectus and invite the general public to purchase shares or debentures. Statement 2: Under private placement the company sells security to the institutional
Question : Complete the paragraphs to give them meanings
Although the share of cultivation in the in general GDP has reduced from around 60 per cent in the last two decades, its significance to the Indian financial system can barely be over stressed. _______ In the context of
Regular exam updates, QnA, Predictors, College Applications & E-books now on your Mobile