This lesson will help you to:—
- overview of money and its use.
- convert Rupees to Paise.
- analyze situations to enable addition, subtraction, multiplication and division of money.
- enable a child to count the money.
- uses operations to find totals, change, multiple costs and unit cost.
- estimates roughly the totals and total cost.
- real life examples to help in better understanding of rupees and paisa.
Real Life Examples
You and your friends go to bakery to purchase a cake and give money to shopkeeper. If you do not have exact amount as is the cost of cake then shopkeeper will give change back.
You were given several coins and paper notes of different denominations and you are being asked to count the total money present.
In ancient days before money was invented, the barter system was used.
Barter is a system of exchange by which goods or services are directly exchanged for other goods or services without using a medium of exchange, such as money.
QUICK CONCEPT REVIEW
- What is money? Money is any object or record that is generally accepted as payment for goods and services.
- The unit of currency in India is Rupees and 1 Rupee = 100 paisa
- 10 coins of 10 paisa make one Rupee
- 2 coins of 50 paisa make one Rupee
- 4 coins of 25 paisa make one Rupee
- 1 coin of 50 paisa and 2 coins of 25 paisa make one Rupee
- Few important currencies of the world are United Stated Dollars ($), UK Pound Sterling and Euro.(put pictures of above mentioned currencies)
- The paper based notes available in India are of Rs.1000, Rs.500, Rs.100, Rs.50, Rs.20, Rs.10, Rs.5 as shown below:
- The coins available in India are of Rs.5, Rs.2, Re 1, 50p and 25p
- When one goes for purchase to market and gives more money than the price of material, then the shopkeeper will return the money back. That returned money is known as change.
For example: You go to market to purchase a chocolate. The cost of the chocolate was Rs.8 but you had Rs.10 note. You gave Rs.10 note and the shopkeeper returned you Rs.2 as a change.1
- You have learnt how to use operations to find totals, change, multiple costs and unit cost.
- Paper notes are called bank notes as they are issued by the Reserve Bank of India. (Reserve Bank of India (RBI)).
- Every not contains signature of RBI Governor.
- As the value of currency increases, the size of the paper not also increases.
- The Government of Indian was presented the design of Rupee to the public on 15 July 2010. (Rs.)
Misconcept: If a paper not is mutilated or torn, then you lose money as you feel that it cannot be used as no shopkeeper is ready to take it.
Concept: Mutilated notes can be tendered at all bank branches for and exchange obtained. Payment of exchange value of mutilated notes is governed by the Reserve Bank of India (Note Refund) Rules and one can get full/half/ no value depending on the condition of the note.