When Firms Hold Some of Their Money Because of Differences

question 30

Multiple Choice

When firms hold some of their money because of differences in timing between receipts and payments, this is the:

• A) assets motive
• B) speculation motive
• C) transactions motive
• D) precautionary motive

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Definitions:

Global War

An extensive conflict that involves multiple countries across different continents, often characterized by its worldwide scale and impact.

Bush Administration

The Bush Administration refers to the executive branch of the U.S. government under President George W. Bush, serving from 2001 to 2009.

Policy of Deterrence

A strategy intended to dissuade adversaries from engaging in an undesirable action through the threat of retaliation.

Nonstate Actors

Individuals or groups that are not affiliated with, directed by, or funded through the government, which can influence or participate in international relations or domestic affairs.