Cash and Cheque
What is a cash payment?
Paying directly with physical money (coins and notes).
What is barter system?
It is the exchanging of goods without the use of money.
Define Money
Money can be defined as anything with monetary value which everyone is willing to accept or receive in exchange for goods and services
Money is limited in supply.
Identify one way of keeping money safe.
Bank, Jar, Piggy bank, Money box, Safe, Vault, etc
* Suitable for small payments
* Instant payment
What year was pounds and shillings in paper introduced in Fiji?
1830
Name another form of money
Debit Card, Credit Card, Cheques, MPaisa
Money is used to buy goods and services. What is this function of money called?
Medium of exchange.
Name two functions of a commercial bank
Accepting deposits, Providing loans, Facilitating payments, Currency exchange, Safekeeping valuables
In your own words, describe what a cheque is.
A written order instructing a bank to pay a specific amount from one account to another.
Coins were introduced for pounds and shillings in what year?
1936
One of the qualities of money is "portable". What does it mean?
Money could be easily carried around.
Money can be saved and used later without losing value. What is this function of money called?
Store of value
We have to pay $10 to open a bank account. Does the $10 belong to the bank of belong to you?
The $10 belongs to YOU.
What is a disadvantage of using cash over cheques?
It can be lost or stolen
In what year was Fiji's dollars and coins were introduced?
1969
One of the qualities of money is "homogeneous". What does this mean?
Identical units have identical values
Money allows for borrowing and lending. What is this function of money called?
Standard of deferred payment.
Name a form of money and explain why it is better than cash
Cheque/Debit card/Credit card/Mpaisa
*Buying online
*Make purchases from the comforts of your home
*Use it to make large payments
What is an advantage of using cheques over cash
It is suitable for larger payments / Only the person whose name is on the cheque is able to cash it at the bank (if the cheque goes missing) / A stop payment can be put on the cheque if it is lost.
Describe double coincidence of wants
Where two people or groups of people have what each other wants and they agree to trade.
Name the seven qualities of money
Acceptable, Portable, Durable, Divisible, Scarce, Homogeneous, Recognizable
What are the four functions of money?
Store of value, Standard of deferred payment, Medium of exchange and Unit of account
What is a commercial bank?
A financial institution that offers services like accepting deposits, providing loans, and facilitating payments.