Ninety-day U.S. Treasury notes are considered cash equivalents.

Name: Ninety-day U.S. Treasury notes are considered cash equivalents.
Brand: Quizplus
Rating: 4.9 (39 reviews)

Question

Quizplus · Accepted Answer

Ninety-day U.S. Treasury notes are considered cash equivalents because they have a maturity of less than three months and are highly liquid, meaning they can be easily converted into cash. This makes them similar to cash and therefore classified as cash equivalents on financial statements.

Ninety-Day U.S. Treasury Notes Are Considered Cash Equivalents