When preparing a statement of cash flows,money held in cash equivalents is considered the same as cash.

Name: When preparing a statement of cash flows,money held in cash equivalents is considered the same as cash.
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Cash equivalents, such as money market funds and short-term certificates of deposit, are highly liquid investments that can be easily converted to cash. Therefore, they are considered to be the same as cash when preparing a statement of cash flows.

When Preparing a Statement of Cash Flows,money Held in Cash