Question: True or false explain false Checks are considered a form or manner of cash. cash is the most liquid current asset. Staked checks are more

True or false explain false

  1. Checks are considered a form or manner of cash.
  2. cash is the most liquid current asset.
  3. Staked checks are more of a short-term investment, than cash.
  4. If you buy postage stamps in advance, these can be considered a current asset.
  5. One of the uses of Petty Cash is to cover extraordinary costs and expenses from the accounting point of view.
  6. Money Markets Funds are classified as Cash.
  7. Cash equivalents include highly liquid investments, due to their ease of converting into cash.
  8. Treasury Bills are long-term investments.
  9. Restricted Cash can be used to attend and cover the payroll.
  10. Bank overdrafts are always classified as short-term or current debt.
  11. The compensatory balances are considered as accounts receivable, resulting from bank transactions
  12. Receivables are not considered as financial assets.
  13. All accounts receivable are considered current assets.
  14. Notes Receivables are considered current assets.
  15. Receivables that do not serve, can be used as collateral in bank loans.
  16. Mercantile Receivables come from the normal operations of a business.
  17. Non-Trade Receivables include claims to Insurance Companies for non-recurring and unforeseen events.
  18. The Provision for accounts receivable (Allowances for Bad Debts) behaves increasing due to the debit.
  19. To remove an account receivable from the accounting books, it is sufficient that the customer cannot justifiably pay or has died.
  20. 2/10, n / 30 is a cash discount offer for accounts receivable, to speed up collections as a cash management strategy.

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