All of the following would be included as a cash equivalent on the statement of financial position except
A) money market funds.
B) commercial paper
C) U.S. Treasury bills, due in 30 days.
D) cash restricted for plant expansion in 2 years.

Question

Quizplus · Accepted Answer

Cash restricted for plant expansion in 2 years is not a cash equivalent because it is not readily convertible to cash within 90 days or less, which is the standard timeframe used to classify assets as cash equivalents.

All of the Following Would Be Included as a Cash