In terms of liquidity,it is to management's advantage to show investments under investments instead of marketable securities.

Name: In terms of liquidity,it is to management's advantage to show investments under investments instead of marketable securities.
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Question

Quizplus · Accepted Answer

Marketable securities are more liquid and easily convertible to cash than investments. Therefore, for purposes of liquidity, it is better to classify investments as marketable securities.

In Terms of Liquidity,it Is to Management's Advantage to Show