Which of the following are short-term, very safe, and highly liquid assets firms include in the cash holdings they report on their balance sheet?
A) cash options
B) cash equivalents
C) marketable derivatives
D) intangible assets

Question

Quizplus · Accepted Answer

Cash equivalents are short-term assets that are very safe and highly liquid, such as treasury bills, certificates of deposit, and commercial paper. Cash options and marketable derivatives are not typically included in cash holdings and may not be as safe or liquid. Intangible assets are non-physical assets that are not considered cash holdings.

Which of the Following Are Short-Term, Very Safe, and Highly