alleryModern money is accepted as a medium of exchange primarily because:
AIt is rare
BIt has intrinsic value
CGovernment authorizes its use (legal tender)
DIt is beautiful
Answer & Solution
Correct answer: C. Government authorizes its use (legal tender)
Modern currency like rupee notes are not made of precious metal and have no use of their own.
They are accepted as money because they are authorized by the government of the country (legal tender).
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