Business Finance Government Sole of Authority to mint coins - Bank of Sweden issued the first paper

and Print Bills. money.

- Bank of England began issuing
1. Prevent Confusion Promissory notes.
Money- Latin word moneta. 2. Ensure Uniformity
- Surname of Goddess Judo Moneta 3. Facilitate Exchange Paper money is also called Representative
- Another Term for money is Bucks. 4. Ensure confidence on the part of citizenry Paper Money.
- Money Of exchange (Merriam Webster). with respect to the Government monetary
system.
Legal Tender- consist of denomination of a Plastic Money- cash made of super resistant
countries currency. Kinds of Coinage
polymer film.
Definition of Money 1) Free Coinage or Gratuitous Coinage
- Metals may be brought to be Polymer Money- regular paper Bill, but last
- Medium of Exchange Government mint and converted into Longer.
- Legal tender standard money. Credit Card-
- Measure of value
- Means of payment 2) Brassage Debit Card- charge to Cardholder.
- Standard of Value - Kind of coinage where the free charged
Cash card- withdraw money thru ATM.
by the government to mint metals into a
Barter- Exchange of things of other things.
coin. Prepaid Cash Card
Commodity Money- money which value comes
from a commodity or which it is made. 3) Seigniorage/Seignorage Gift card- given as a Gift.
- Kind of coinage where the fee charged
Example of Commodity Store Card- can Be used at the same store.
by the government more than the cost
of minting. Multi-Currency Prepaid Card- it can be load up
- Gold
- Cooper to six different countries.
4) Limited Coinage
- Silver Barter Exchange Business- Trade Products or
- Type of coinage is one wherein the
- Salt Service.
Government converts metals into coins
- Candy
only at its option. Form of Money
Coinage- conversion of metal in to coins.
Paper Money- Invented in China. Commodity Money- things use to pay for such
Mint- the place where metals are made into Tender commodity money.
- Mongolia was the second country using
coins.
paper money.
Currency Bill- Legal tender in the Country.
Check- Generally used in Business and Person
in conducting business.
Personal Check- person to be drawn against
their own current/ check.
Business Check- Check issued by companies or
Business.
Cashiers/ managers Checks- issued by bank
against its own account.
4) International Draft- used globally and
internationally.
5) Automatic Bank Draft- draft take out the
money from the payer’s account.
Characteristic of a good medium of exchange
1) Scarcity- hard to find or rare make it valuable.
2) Divisibility- quality of being broken down into
small units.
3) Portability-ease in handling or carrying.
4) Durability- quality of lasting long.

Certified Check- identifying the account of the

person issuing.

Parties to a Check

1) Maker- Drawer or writer of the Check.

2) Drawee- is the Bank.
3) Payee- one to whom the check is to paid.
4) Bank Draft- issued by the bank against their
own account.
5) Money Order- issued Generally by the Post.
6) Warehouse Receipt- full and complete
treatise on the subject.

Travelers Check- Exchanging the Currency with

currency of other Country.

Type of bank draft

1) Demand Draft- payable on Demand.

2) Time Draft- payable sometime in the Future.
3) Local Draft- issued bank in a single country.