Question

question 6 of 11
why is paper currency considered legal tender?
select an answer from the options below.
a because it is made from special paper that gives the currency va
b because it has intrinsic value
c because the government officially sanctions it for payments
d because it can be easily counterfeited

Explanation:

Legal tender refers to a medium of payment recognized by a government to settle financial obligations. Paper currency has no inherent intrinsic value, and its status as legal tender comes from official governmental authorization. Options A, B, and D are incorrect: special paper does not give it value, it lacks intrinsic value, and being counterfeitable is irrelevant to its legal tender status.

Answer:

C. Because the government officially sanctions it for payments