Accountancy, asked by Makaluya, 2 days ago


Which among the following is not considered as a cash equivalent for purposes of a cash flow statement?


Answers

Answered by bijujoseph600
0

Answer:

Cash Equivalents are short-term highly liquid investments that are easily convertible into cash and which are subject to an significant risk of change in value.

In other words, cash equivalents are held for the purpose of meeting short-term cash commitments rather than for investment or any other purpose.

An investment held for short-term maturity say three months, can be regarded as cash equivalent. For Example Treasury Bills, Commercial Papers etc.

Answered by kyamini8ascs835042
0

Answer:

certificates of deposit.

Explanation:

Certificate of deposits are investment for a longer duration where we keep our amount with a bank...

mark me as brainliest

Similar questions