Money of account
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The money of account is the monetary unit in which accounts are kept, which is not necessarily linked to actual currency.[1]
[edit] Use in Old French Currency
When French kings minted coins, the value would be denominated in terms of money of account. Therefore, the actual value of the coin would fluctuate over time due to outside factors, such as inflation. Therefore, the specific value of a coin was never set. That is to say, a dime would never be worth exactly ten cents, but would oscillate around ten cents.[2]
[edit] See Also
- Money of exchange
- Money
