An instrument used in lieu of legal tender is known as ______?
-
A.
Token money -
B.
commodity money -
C.
fiat money -
D.
representative
Correct Answer: Option B
Explanation
Money is a type of asset in an economy that is used to buy goods and services from other people. A commodity is a physical item that is interchangeable with another item of the same type or value.
This is the use of specific commodity as a form of money. Its value as a piece of metal is the same with its value as a piece of money.