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Explain the Reason for Conducting an Industry and Competitive Situation

question 87

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Explain the reason for conducting an industry and competitive situation analysis.

Understand the characteristics of money market securities.
Appreciate the risks associated with changes in an investment portfolio composition, such as interest rate risk, default risk, and maturity risk.
Grasp the concept of opportunity cost associated with holding cash and how it impacts financial decisions.
Identify the motivations behind a firm's need for liquidity, including precautionary, transaction, speculative, and float motives.

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