What is a cash equivalent? Why is it included with cash on the balance sheet?
Question:
Fantastic news! We've Found the answer you've been seeking!
Step by Step Answer:
Answer rating: 53% (15 reviews)
A cash equivalent is an investment that is readily convertible to a known amount of cash ...View the full answer
Answered By
CHARLES AMBILA
I am an experienced tutor with more than 7 years of experience. I have helped thousands of students pursue their academic goals. My primary objective as a tutor is to ensure that students have easy time handling their academic tasks.
5.00+
109+ Reviews
323+ Question Solved
Related Book For
Using Financial Accounting Information The Alternative to Debits and Credits
ISBN: 978-1133161646
7th Edition
Authors: Gary A. Porter, Curtis L. Norton
Question Posted:
Students also viewed these Cost Accounting questions
-
What is a cash equivalent? Why is it included with cash for purposes of preparing a statement of cash flows?
-
4. The data below show the rates at which firm X and firm Y can borrow in the fixed- and variable-rate debt markets. Debt markets Fixed-rate funds Variable-rate funds Firm X 12.00% LIBOR + 0.50% Firm...
-
Why does commitment and contingencies appear on the balance sheet without an amount?
-
Prepare an Orientation Plan for the select position utilizing the theories discussed in the text. Discuss appropriate and effective orientation plans and your decision-making process for selecting a...
-
Connor purchased an annuity that was to pay him a fixed amount each month for the remainder of his life. He began receiving payments in 2000, when he was 65 years old. In 2016, Connor was killed in...
-
One type of viscometer involves the use of a rotating cylinder inside a fixed cylinder. Th e gap between the cylinders must be very small to achieve a linear velocity distribution in the liquid....
-
The following covenants are extracted from the indenture of a bond issue. The indenture provides that failure to comply with its terms in any respect automatically advances the due date of the loan...
-
The unadjusted trial balance of PS Music as of July 31, 2012, along with the adjustment data for the two months ended July 31, 2012, are shown in Chapter 3. Based upon the adjustment data, the...
-
A curve can also be specified in parametric form and then rotated about the x-axis. Consider C: {[t, cosh(t)], 0 t 1} rotated about the x-axis. It looks a bit like a stovepipe. Surface of revolution...
-
Recent graduate and world traveler Alastair Bor is planning a European trip. He is influenced by his curiosity about urban culture in the EU and by his study of international relations while he was...
-
A fellow student says to you: The statement of cash flows is the easiest of the basic financial statements to prepare because you know the answer before you start. You compare the beginning and...
-
Why does the purchase of an item classified as a cash equivalent not appear on the statement of cash flows as an investing activity?
-
What is the purpose of substance abuse free workplaces in organizations?
-
Draw the graphs in Problems 45-50. \(y=-2 x^{2}+4 x-2\)
-
Imagine at the next FOMC meeting, governors and voting presidents of the Federal Reserve System agree not to increase the federal funds rate target, but suggest to markets that there could be an...
-
Sketch the graphs of the equations in Problems 31-38. \(y=100-2^{x}\)
-
Calculate the new interest rate if a bank realizes that the value of a mortgage increases from \($450,000\) to \($471,428.57,\) if the duration of the mortgage is 10 years and the interest rate used...
-
Explain the construction and working of a pressure gauge with a neat sketch.
-
During 2019, ONeal Oil Corporation constructed an offshore production platform at a cost of $25,000,000. In total, 16 wells are planned. As of 12/31/19, only 2 out of the 16 wells had been drilled....
-
In Problems 1522, find the principal needed now to get each amount; that is, find the present value. To get $750 after 2 years at 2.5% compounded quarterly.
-
Below are ball-and-stick models of two molecules. In each case, indicate whether there must be, may be, or cannot be one or more lone pairs of electrons on the central atom. 120 (a) 180 (b)
-
Berol Corporation sold 20-year bonds on January 1, 2012. The face value of the bonds was $100,000, and they carry a 9% stated rate of interest, which is paid on December 31 of every year. Berol...
-
Assume the same set of facts for Berol Corporation as in Exercise 10-16 except that it received $109,862 in return for the issuance of the bonds when the market rate was 8%. In Exercise 16 Berol...
-
On March 31, 2012, Sammonds Inc. issued $250,000 face value bonds at a discount of $7,000. The bonds were retired at their maturity date, March 31, 2022. Required Assuming that the last interest...
-
The December 31, Year 4, balance sheet for Vernon Corporation is presented here. These are the only accounts on Vernon's balan sheet. Amounts indicated by question marks (?) can be calculated using...
-
Reyes Manufacturing Company uses a job order cost system. At the beginning of January, the company had one job in process (Job 201) and one job completed but not yet sold (Job 200). Job 202 was...
-
n-1 3.) Given the discrete sequence x(n) = (3) u(n - 1) where u is the unit step sequence, do the following: (SHOW ALL WORK) a.) Compute the discrete time Fourier Transform (DTFT) X(w) of x(n). b.)...
Study smarter with the SolutionInn App