In managing cash and marketable securities, what should be the manager's primary concern?
A) Maximization of profit
B) Maximization of liquid assets
C) Acceptable return on investment
D) Liquidity and safety

Question

Quizplus · Accepted Answer

The primary concern for managing cash and marketable securities should be liquidity and safety. The manager should aim to maintain enough liquid assets to cover short-term obligations, while also ensuring that the investments in marketable securities are safe and secure to minimize risk. Maximizing profit and acceptable return on investment are important considerations, but they should not come at the expense of liquidity and safety.

In Managing Cash and Marketable Securities, What Should Be the Manager's