Asked by
Justin Nguy?n
on Oct 15, 2024Verified
Cash,not including cash equivalents,includes:
A) Postage stamps.
B) Customer checks,cashier checks,and money orders.
C) IOUs.
D) Two-year certificates of deposit.
E) Money market funds.
Cashier Checks
A check issued by a bank, drawn on its own funds rather than on one of its depositor's accounts, guaranteeing payment.
Postage Stamps
Small pieces of paper issued by a government or an official postal administration, denoted with a specified value, and used to pay for the shipment of mail.
Certificates of Deposit
Time-bound deposit accounts offered by banks that pay interest and have a fixed maturity date.
- Differentiate between cash and cash equivalents, and determine the classifications for each.
Verified Answer
JL
Learning Objectives
- Differentiate between cash and cash equivalents, and determine the classifications for each.