A Primary Purpose of Restricting the Investment of Idle Cash

question 22

Multiple Choice

A primary purpose of restricting the investment of idle cash balances to money market instruments is to:

• A)Obtain government guarantees on the investment
• B)Minimize transaction costs
• C)Carry a minimal amount of interest-rate risk
• D)Have a continual market for selling the investment

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Definitions:

Stability Of Personality

The concept that an individual's personality traits tend to remain consistent over time.

Rigidity

The quality of being unable to bend or be forced out of shape, often used metaphorically to describe inflexible attitudes or beliefs.

Depression

A mental health disorder characterized by persistent feelings of sadness, loss, or anger that interfere with daily activities.

Ego Integrity Versus Despair

The final stage of Erik Erikson’s theory of psychosocial development, where older adults reflect on their life and either achieve a sense of fulfillment or experience regret.