meaning of money
Money is a goods that has specific properties and functions to facilitate the exchange.
Terms of money
a. Acceptable to the public.
b. Stable value or fixed
c. Durable and not easily broken.
d. Easy to carry anywhere.
e. Easily be shared without reducing the value.
f. Having a quality time.
g. The amount is limited.
functions of money
Money has the following functions:
a. original function
1. money as a tool for public exchange, it means everything in the form of items or services can be exchanged for money.
2. money as a tool to calculate the unit, meaning that money can be used to determine its size required in the production cost.
b. derivative function
1. Exchange as an indicator of the price, meaning to indicate the unit price of the goods specified by the number of units of currency.
2. money for payment, meaning that money is used to convert the goods or services in buying and selling activities, to pay taxes, fines and others.
3. Exchange as a means to save or store, that means to save some money from the production.
4. Exchange as a driver of economic activities, everyone worked hard to earn money.
5. money as a tool for shaping and transfer of wealth, that means collect or save the form of wealth. Money can also be used as a tool to convert the wealth that can not be moved.
6. money as a tool for forming the creator of employment and capital, meaning money can be exploited to build a company that can, in turn absorb the workforce.
7. money as debt payment default, meaning that money can be used to pay debt, calculated with the standard or measure of money.