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primary Functions, 1. Medium of Exchange, , Money acts as a medi, tum of exchange. That is, money i in the sale and, purchase of goods and services. ° ’ ey is used 1, , 2. Measure of value, , Mon . ai, ey measures value of goods and services. It facilitates sale and purchase of, goods and services., , Secondary Functions, 1. Store of Value, , Money serves as a store of value in liquid form. So people can purchase goods, and services at any time by using currency notes, coins, bank account, etc., We can store value in the form of money., , 2. Standard for deferred payments, , Money is helpful in making payments for goods and services after a lapse of time., That is, people can buy and sell goods and services on commitment and make, payments in the form of instalments., , 3. Transfer of value, , Sale and purchase of movable and immovable property can be made with the, help of money. In simple words, value available with a person in the form of, assets can be transferred to another person with the help of money,, , Contingent Functions, , 1. Basis of Credit, The progress of business activity is related to the credit system of the country., The entire strength of the credit system is based upon money. Money supply, affects the credit system of the country., , 2. Liquidity, Money is the most liquid form of asset which can be converted into other assets