Cash Equivalents
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Description
Very short-term investments that are so liquid that they are considered equivalent to cash. Examples include money market funds, Treasury bills, certificates of deposit, and commercial paper. These investments must mature within 90 days of acquisition.
Concept Prerequisite
Wikipedia Reference
http://en.wikipedia.org/wiki/Cash equivalents
Learning Material
Covered in Topic(s)
| Financial Assets |
| Statement of Cash Flow |