PPT : Money and Banking CA Foundation Notes | EduRev

Economics for CA CPT

Created by: Aditi Mittal

CA Foundation : PPT : Money and Banking CA Foundation Notes | EduRev

 Page 1


CPT Section C General  Economics Chapter 8 Unit 1  
CA Shweta Poojari 
Page 2


CPT Section C General  Economics Chapter 8 Unit 1  
CA Shweta Poojari 
1.Concept of Barter System 
2.Meaning & Definition of Money 
3. Functions of Money 
4. Classification of Money 
5. Money Supply & Money Stock in India 
6. Multiple Choice questions 
Page 3


CPT Section C General  Economics Chapter 8 Unit 1  
CA Shweta Poojari 
1.Concept of Barter System 
2.Meaning & Definition of Money 
3. Functions of Money 
4. Classification of Money 
5. Money Supply & Money Stock in India 
6. Multiple Choice questions 
Barter system refers to direct exchange of goods & 
Services i.e. Exchanging goods/services available with us 
to buy the goods/services we need, because there was no 
standard mode for settlement of transactions like “Money”. 
 
Eg: One person has surplus of wheat wants cloth and 
another person having surplus of cloth wants wheat. 
Page 4


CPT Section C General  Economics Chapter 8 Unit 1  
CA Shweta Poojari 
1.Concept of Barter System 
2.Meaning & Definition of Money 
3. Functions of Money 
4. Classification of Money 
5. Money Supply & Money Stock in India 
6. Multiple Choice questions 
Barter system refers to direct exchange of goods & 
Services i.e. Exchanging goods/services available with us 
to buy the goods/services we need, because there was no 
standard mode for settlement of transactions like “Money”. 
 
Eg: One person has surplus of wheat wants cloth and 
another person having surplus of cloth wants wheat. 
Lack of Double Coincidence 
Lack of Divisibility 
Lack of Measure of Value 
Page 5


CPT Section C General  Economics Chapter 8 Unit 1  
CA Shweta Poojari 
1.Concept of Barter System 
2.Meaning & Definition of Money 
3. Functions of Money 
4. Classification of Money 
5. Money Supply & Money Stock in India 
6. Multiple Choice questions 
Barter system refers to direct exchange of goods & 
Services i.e. Exchanging goods/services available with us 
to buy the goods/services we need, because there was no 
standard mode for settlement of transactions like “Money”. 
 
Eg: One person has surplus of wheat wants cloth and 
another person having surplus of cloth wants wheat. 
Lack of Double Coincidence 
Lack of Divisibility 
Lack of Measure of Value 
In Barter system person 
having a surplus of one 
commodity should be able 
to find another person who 
needs it and has something 
to offer in exchange.  
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