1. The roles of money Shen wants to purchase a new TV and go on a cruise for spring break. The TV is priced at $2,224, and the vacation is priced at $1,850. He has only $3,056 in his checking account, so he cannot afford to purchase both. After much thought, Shen buys the TV and writes a check for $2,224. Identify what role money plays in each of the following parts of the story. Hint: Select each role only once. Role of Money Medium of Exchange Unit of Account Store of Value Shen can easily determine that the price of the TV is more than the price of the vacation. Shen has $3,056 in his checking account. Shen writes a check for $2,224. Continue without saving
1. The roles of money Shen wants to purchase a new TV and go on a cruise for spring break. The TV is priced at $2,224, and the vacation is priced at $1,850. He has only $3,056 in his checking account, so he cannot afford to purchase both. After much thought, Shen buys the TV and writes a check for $2,224. Identify what role money plays in each of the following parts of the story. Hint: Select each role only once. Role of Money Medium of Exchange Unit of Account Store of Value Shen can easily determine that the price of the TV is more than the price of the vacation. Shen has $3,056 in his checking account. Shen writes a check for $2,224. Continue without saving
Chapter1: Making Economics Decisions
Section: Chapter Questions
Problem 1QTC
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Transcribed Image Text:1. The roles of money
Shen wants to purchase a new TV and go on a cruise for spring break. The TV is priced at $2,224, and the vacation is priced at $1,850. He has only $3,056 in his checking account, so he cannot afford to purchase both.
After much thought, Shen buys the TV and writes a check for $2,224.
Identify what role money plays in each of the following parts of the story.
Hint: Select each role only once.
Role of Money
Medium of Exchange
Unit of Account
Store of Value
Shen can easily determine that the price of the TV is more than the price of the vacation.
Shen has $3,056 in his checking account.
Shen writes a check for $2,224.
Continue without saving
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