Cash and cash equivalents: Difference between revisions
From ACT Wiki
Jump to navigationJump to search
imported>Doug Williamson (Add examples of cash equivalents.) |
imported>Doug Williamson (Add link.) |
||
| Line 22: | Line 22: | ||
*[[Cashflow statement]] | *[[Cashflow statement]] | ||
*[[Liquidity]] | *[[Liquidity]] | ||
*[[Money]] | |||
*[[Statement of financial position]] | *[[Statement of financial position]] | ||
Revision as of 22:20, 8 August 2021
Financial reporting - balance sheet - assets.
(CCE).
For financial reporting purposes, cash equivalents are:
- Short-term, highly liquid investments that are
- Readily convertible to known amounts of cash and
- Which are subject to an insignificant risk of changes in value.
Examples of cash equivalents for financial reporting purposes include money market instruments, treasury bills, short-term government bonds, marketable securities and commercial paper.
Cash and cash equivalents are normally reported as a single aggregated figure in the primary statement of financial position.
