M3 Consists of

question 90

Multiple Choice

M3 consists of

• A)M1 plus bank cheques.
• B)M1 plus currency at the banks.
• C)M1 plus traveller's cheques.
• D)M1 plus saving deposits,certificates of deposit and other deposits.
• E)M1 plus M2.

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Definitions:

Days' Sales

A financial ratio that calculates the average time it takes for a company to convert its inventory into sales.

Physical Inventory

A process where a business counts its entire inventory by hand at a specific point in time.

Balance Sheet

A financial statement that provides a snapshot of a company's financial condition at a specific moment in time, showing its assets, liabilities, and shareholders' equity.

Income Statement

A financial report that shows a company's revenues, expenses, and profit or loss over a specific period.