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Answer the Following in Brief : What is Cash Equivalent? - Book Keeping and Accountancy

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Question

Answer the following in brief :
What is cash equivalent?

Answer in Brief

Solution

Cash equivalents are the assets, such as marketable securities and short-term investments, which are readily convertible into cash. They are regarded as highly liquid assets.

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Cash Flow Analysis
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Chapter 12: Analysis of Financial Statements - Exercise 4 [Page 385]

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Micheal Vaz Book Keeping and Accountancy [English] 12 Standard HSC Maharashtra State Board
Chapter 12 Analysis of Financial Statements
Exercise 4 | Q 5 | Page 385
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