Ask Question
BusinessBusiness
9 September, 19:28

Fiat money has A. little to no intrinsic value and is authorized by the central bank or governmental body. B. a great intrinsic value that is independent of its use as money. C. little to no intrinsic value but is backed by the quantity of gold held by the central bank. D. value, because it can be redeemed for gold by the central bank.

+2
Answers (2)
  1. 9 September, 19:37
    0
    The answer is A. Fiat money has little to no intrinsic value and is authorized by the central bank or governmental body.

    Explanation:

    Fiat money is the money that is issued by a country's government / reserve bank whose value will be decided by the supply and demand of the money in the market, the country economic/social/political stability and potential.

    Fiat money is not backed by commodities (such as gold, silver) which secures its exchange power for a specific amount of commodities; it has no guarantees on its value (i. e purchasing power), as a result has no intrinsic values itself. Instead, its value comes from the agreements of exchanging parties and the governance of its supply by the central bank.

    Most countries' currencies nowadays are classified as fiat money, such as US dollar, Euro, Yen ...
  2. 9 September, 19:42
    0
    A. little to no intrinsic value and is authorized by the central bank or governmental body.

    Explanation:

    Fiat money is money that has little to no intrinsic value and is authorized by the central bank or governmental body.

    It is usually established by the government as legal tender and its value is maintained by the government.

    Commodity money has a great intrinsic value that is independent of its use as money.
Know the Answer?
Not Sure About the Answer?
Find an answer to your question 👍 “Fiat money has A. little to no intrinsic value and is authorized by the central bank or governmental body. B. a great intrinsic value that ...” in 📗 Business if the answers seem to be not correct or there’s no answer. Try a smart search to find answers to similar questions.
Search for Other Answers
You Might be Interested in
To prevent monetary policy from becoming highly politicized, many countries have
Answers (1)
Matt and alicia created a firm that is a separate legal entity and will share ownership of that firm on a 75/25 basis. which type of entity did they create if they have no personal liability for the firm's debts?
Answers (1)
Apakah kandungan protokol sempadan perjanjian bangkok bangkok 1909?
Answers (1)
Journalize the following inventory merchandise transactions for both Sampson and Batson, assuming that the both Sampson and Batson uses the perpetual inventory system. Refer to the Chart of Accounts for exact wording of account titles. Dec.
Answers (1)
As of January 1, 2021, Chelsea Co. had a balance of $520,000 in its allowance for uncollectible accounts. Based on experience, 2% of Chelsea's credit sales have been uncollectible. During 2021, Chelsea wrote off $650,000 of accounts receivable.
Answers (1)
New Questions in Business
the context of bringing the code of ethics of a company to life, which of the following statements is true when experts try to advocate a forceful, integrated approach to ethics?
Answers (1)
Privatisation leads to ... A) Lower productivity and lower profit B) Higher productivity and higher profit C) Higher productivity and lower profit D) lower producitivity and lower profit
Answers (1)
As of December 31, 2019, Armani Company's financial records show the following items and amounts. Cash $ 10,000 Accounts receivable 9,000 Supplies 6,000 Equipment 5,000 Accounts payable 11,000 A. Armani, Capital, Dec. 31, 2018 16,000 A.
Answers (1)
Which of the following is true of development? It does not consider changes in technology, work design, and new customers in its modules. It focuses primarily on the current requirements of a job.
Answers (1)
Javier is the business manager at his college. In his role, Javier makes a lot of business decisions. Javier has installed a vending machine in a dorm for soft drinks. The machine rents for $200 a month and the electrical use is minimal.
Answers (1)
Home » Business » Fiat money has A. little to no intrinsic value and is authorized by the central bank or governmental body. B. a great intrinsic value that is independent of its use as money. C.
Sign Up Forgot Password?