Assignment of CH-Money and Credit

                               DCM International School

                                       Ferozepur City

                  ASSIGNMENT OF CH-MONEY AND CREDIT

Que1: What is money ? 

Que.2: What are the different kinds/types/forms of money ?

Que.3: What is the meaning of “double coincidence of wants” ? 

Que.4: What is “Barter System” ?.   

Que.5: Why money is called a medium of exchange?

Que.6:Define - (a) Credit (b) Terms of Credit (c) Collateral (d) Fiat Money (e)                  Cheque (f) Demand Deposits      Question.7: How does the use of money              make it easier to exchange things ?. Question.8: Can you think of some               examples of good services being exchanged or wages being paid                         through barter ?.       

Que.9:  Mr. Salim wants to withdraw Rs 20,000 in cash for making payments.                    How would he write a cheque to withdraw money ?

Que.10: Why were demand deposits considered as money ?

Que.11: What would happen if all the depositors went to ask for their money at                 the same time ?.      

Que.12: What were the reasons that make Swapna’s situations so risky ?                           Discuss factors: pesticides, role of money lenders, climate.

Que.13: Why do lenders ask for collateral while lending ?

Que.14: Given that a large number of people in our country are poor, does it in                 any way affect their capacity to borrow?     

Que.15: Fill in the blanks choosing correct option from the brackets:

             While taking a loan, borrowers look for easy terms of credit. This means              _________ (low/high) interest rate, ______ (easy/tough) conditions for                  repayment, ____________ (less/more) collateral and documentation                      requirements. 

Que.16: List the various sources of credit in Sonpur.

Que.17: Why will Arun have higher income from cultivation compared to                           Shyamal ?  .  

Que.18: Can everyone in Sonepur get credit at a cheap rate ? Who are the                        people who can ?

Que.19: What are the differences between formal and informal sources of credit              ?   

Que.20: Why should credit at reasonable rates be available for all ?

Que.21: Why do you think that the share of formal sector credit is higher for the               richer households as compared to the poorer households ?