Question

How the demand deposits share the essential feature of money?

Answer 1

The points are:-

. Demand deposits offer another interesting facility. It helps in making the payment in cheque.

. A cheque is a paper instructing the bank to pay a specific amount from the person’s account to the other person or to the account holder.

. Thus, we see that demand deposits share the essential features of money.

. The facility of cheques against demand deposits makes settlement of payments possible without using cash.

. Since demand deposits are accepted widely as a means of payment, along with currency, they  constitute money in the modern economy.

Answer 2

HLO MATE HERE IS YOUR ANSWER.......
♡♡♡♡♡♡♡♡♡♡♡♡♡♡♡♡♡♡♡♡♡


Since the deposits in the bank accounts can be withdrawn on demand, these deposits are calleddemand deposits. They exhibit essential features of money: ... Demand deposits are accepted widely as a means of payment, along withcurrency, they constitutemoney in the modern economy.


HOPE IT WILL HELP U....

☺☺

✔✔✔✔✔✔✔