Which of the Following Is Not a Characteristic of Cash

question 25

Multiple Choice

Which of the following is not a characteristic of cash and cash equivalents?

• A) They have a very low, or insignificant, risk of changing in value.
• B) They are highly liquid investments.
• C) They include short-term borrowings with a maturity of less than 3 months.
• D) None of the above. They are all characteristics of cash and cash equivalents.

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Definitions:

Bidirectional

An object that moves in two directions.

Like Charges

Charges that are the same, either both positive or both negative, which repel each other according to Coulomb's law.

Attraction

The force that draws two objects toward each other, such as the electromagnetic force between oppositely charged particles or between magnetic poles.

Repulsion

A force that pushes objects away from each other, often used in the context of magnetic fields where like poles repel.