2. WHAT IS CURRENCY ? <ul><li>Currency, or money ), can be defined as a unit of purchasing power. It is a medium of exchange, a substitute for goods or services. It doesn't have to be the coins or bills with which you're probably most familiar. In fact, through the ages, everything from large stone wheels, knives, slabs of salt, and even human beings have been used as money. Anything that people agree represents value is currency </li></ul>
3. <ul><li>CURRENCY SYSTEM CAN BE DIVIDED INTO TWO TYPES… </li></ul><ul><li>COINS </li></ul><ul><li>and </li></ul><ul><li>BANK NOTE </li></ul>
5. ABOUT COINS… <ul><li>A coin is a piece of hard material that is standardized in weight, is produced in large quantities in order to facilitate trade, and primarily can be used as a legal tender token for commerce in the designated country, region, or territory. </li></ul><ul><li>Coins are usually metal or a metallic material and sometimes made of synthetic materials, usually in the shape of a disc, and most often issued by a government </li></ul>
6. IMAGES OF SOME ANCIENT COINS….
7. ORIGIN OF COINS…. <ul><li>Coins have long been linked to the concept of money, as reflected by the fact that in other languages the words "coin" and "currency" are synonymous . </li></ul><ul><li>BarterThe first people didn't buy goods from other people with money. They used barter. Barter is the exchange of personal possessions of value for other goods that you want. This kind of exchange started at the beginning of humankind and is still used today. </li></ul>
9. ABOUT BANKNOTE…. <ul><li>A banknote (often known as a bill , paper money or simply a note ) is a kind of negotiable instrument, a promissory note made by a bank payable to the bearer on demand, used as money </li></ul>
10. ADVANTAGES OF BANK NOTE OVER COINS…. <ul><li>The costs of using bearer money include: </li></ul><ul><li>Manufacturing or issue costs </li></ul><ul><li>Wear costs </li></ul><ul><li>Cost of transport </li></ul><ul><li>Cost of acceptance </li></ul><ul><li>Security </li></ul>
11. IN ANCIENT TIMES…. <ul><li>IN MESOPOTAMIA </li></ul><ul><li>The early Mesopotamians used a weight of barley as their first currency. </li></ul><ul><li>It was an actual edible commodity that could be used to make soup, bread and beer, for one thing and for another, it was prone to decay: pests ate it, it tended to rancidity if kept for too long, and so on. </li></ul>