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“Money is non-perishab… (Class 12 Economics SQP 2025-26, Q3)

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EconomicsCBSE Class 12 · Sample paper, session 2025-26 · 1 mark · MCQ

CBSE Class 12 Economics sample paper 2025-26: question 3

From the official CBSE sample question paper for 2025-26, section A, question 3, for 1 mark. Try it first; the hints and our step-by-step solution are below.

Q3 · 1 mark · MCQMoney and Banking

“Money is non-perishable and is acceptable to anyone at any point of time.”
Identify, the function of money indicated in the aforesaid statement and choose the correct option.

  1. (A)Store of Value
  2. (B)Medium of Exchange
  3. (C)Unit of Account
  4. (D)Standard of Deferred Payments

Source: official sample paper from cbseacademic.nic.in (PDF). See it in the full Sample paper 2025-26.

Hints

Open one hint at a time and try again before the next.

Hint 1

Can a farmer store his wealth as tomatoes for years?

Hint 2

Which function lets you keep purchasing power for the future?

Step-by-step solution

Each step shows the marks it earns, as an examiner would award them. Checked by an independent re-solve from the question paper.

  1. Because money does not perish and is accepted by anyone at any time, people can hold their wealth in money and use it later.

  2. This is the store of value function of money. Option (A).

    1 mark

Answer: (A) Store of Value

Where the marks are

  • Non-perishable and always acceptable: store of value (1 mark)

Revise the chapter

Practise this chapterBoard-style questions from Money and Banking, one at a time, marked against the answer key and marking points.Back to the full paperSample paper 2025-26: every question, by section.

The question is transcribed from the official paper; figures are described in words. The solution, hints and chapter tag are ours. Spotted an error? Write tosupport@questionbuddy.in.