Multiple Choice
Which of the following is not a valid reason for holding cash?
A) To meet transaction requirements.
B) To earn the highest return possible.
C) To satisfy emergency needs for funds.
D) To provide a compensating balance for a bank.
Correct Answer:

Verified
Correct Answer:
Verified
Related Questions
Q7: Bankers' acceptances are short-term securities that arise
Q8: Treasury bills are unique in that they
Q9: Characteristics of a money market mutual fund
Q10: Certificates of deposit purchased in small denominations
Q11: A lock-box is used to safeguard the
Q13: If a company would like to reduce
Q14: Computerized cash management and electronic funds transfer
Q15: The problem in stretching out the maturity
Q16: The system whereby funds are moved between
Q17: If a company can implement cash management