When investing excess cash for short periods of time, corporations invest in

Question

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When investing excess cash for short periods of time, corporations should invest in low-risk, highly liquid securities. These types of investments provide safety of capital and the ability to easily convert to cash when needed. Stocks (choice A and D) are too risky for short-term investments, and debt securities (choice B) may not be as liquid as needed.

When Investing Excess Cash for Short Periods of Time, Corporations