10
AssignmentMultiple Choice

Money

Question 10 • * HSA 26-27 Economics

How does a debit card differ from both barter and currency?

Answer
A
Only currency facilitates easy tracking of expenses.
B
The three payment forms require physical presence for transactions.
C
The three payment forms rely on the trust between parties involved.
D
Only debit cards allow for convenient online and remote transactions.

Explanation

A debit card can authorize a payment electronically, so it is convenient for online purchases and transactions made remotely. Barter usually requires the parties to exchange goods or services directly, and physical currency must generally be delivered to the other party. Thus, “Only debit cards allow for convenient online and remote transactions” is the best distinction.

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