The Beginning and the Ending Balances in Cash and Cash

Multiple Choice

The beginning and the ending balances in cash and cash equivalents are entered in the master T-account for preparing the statement of cash flows.Cash equivalents represent _____ in which a firm has temporarily placed excess cash.

A) short-term, highly illiquid investments
B) short-term, highly liquid investments
C) short-term and long-term, highly liquid investments
D) short-term and long-term, highly illiquid investments
E) short-term and long-term, marketable securities