Cash equivalents meet all of the following criteria except:

Cash equivalents meet all of the following criteria except: Are readily convertible to a known cash amount. Include short-term investments purchased within 3 months of their maturity dates. Have a market value that is not sensitive to interest rate changes. Include short-term U.S. treasury bills. Are more liquid than cash.

Answer

correct option is “E” -Are more liquid than cash.

cash is most liquid asset among current asset .

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