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which of the following best describes token money?

which of the following best describes token money?
Take Free Practice Test On 2026 JAMB UTME, Post UTME, WAEC SSCE, GCE, NECO SSCE
  • A Money in the vaults of commercial banks
  • B Currency and coins in circulation
  • C Money with face value higher than its material content
  • D Coins and notes made of poor quality material
Correct Answer: Option C
Explanation:
token money; money where the face value of notes or coins is unrelated to the value of the material of which they are composed. In economics, Token money, or Token, is money that has little intrinsic value compared to its face value.
The token is a small amount of money (compared to the market value of theproperty) that has to be paid by the buyer as an indication of serious intent to purchase a property.

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