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Purpose of Cash and Cash Equivalents Companies carry cash and cash equivalents for various small business motives. An organization will want to have cash and cash equivalents available to:
Decide Brasel also requested that customers in the jury keep on being isolated from other people during the rest of the trial, a rare stage taken in higher-profile circumstances during which jury tampering is a priority.
A company carries cash and cash equivalents to pay its small-expression expenditures but to also maintain cash for lengthy-term cash deployment.
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Most houses have some threat of normal disasters, and should be impacted by local weather modify on account of climbing temperatures and sea stages.
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The underside Line Cash and cash equivalents are one of the most liquid existing belongings on an organization's stability sheet. The assortment of economic items that comprise the stability of this classification generally have maturities of 90 days or considerably less, are quickly convertible to cash, small threat, and will have to not have constraints that limit their liquidity.
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