Question

4.
Cash Funds are required for :
(A) Transactions Motive
(B) Precautionary Motive
(C) Speculative Motive
(D) All of above​

Answer 1

Answer:

speculative motive

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Answer 2

Cash Funds are required for : All of the above.

Cash Funds:

Cash Funds approach all moneys, negotiable instruments, certificates of indebtedness, stocks, and bonds held via or owned via any State business enterprise which are not on deposit with or withinside the agree with of the State Treasurer.

Cash Funds are required:

Transaction Motive:

A employer dreams cash for making transactions withinside the normal operations.

• Precautionary Motive:A company is needed to maintain coins for assembly numerous contingencies.
• Though coins inflows and coins outflows are expected however there can be versions in those estimates.

Speculative Motive:The speculative motive relates to retaining of cash for making an funding in profitable opportunities as and when they arise.

• Such opportunities do now not are to be had a regular manner.

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