DQ 2 - securities assist a company in meeting its cash...

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Short term securities means the securities has a maturity of less than one year. Short term securities like short term loan, commercial paper, cash credit are some of the short term investment. Cash management goal are maintain adequate amount in hand to meet the daily cash requirements of the municipality while maximizing the amount available for investment and highest earnings on invested funds while ensuring their safety. The
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Unformatted text preview: securities assist a company in meeting its cash management goals in the following ways: The interest for this short term securities is less, the company claim for tax deduction, the short term is mobilized for working capital purpose, the company will not mobilize huge amount, and they can mobilize easily....
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