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Identify If the Following Investments Meet the Requirements to Be

Question 32

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Identify if the following investments meet the requirements to be classified as cash and cash equivalents.
a.b.c. d.e.Chequing account in U.S. dollars.Investment in a mutual fund that invests in common shares of public corporations.Investment in long-term government bonds.Term deposit maturing 100 days afterthe year-endCash in a sinking fund account for a future re-purchase of common shares.Cash andcash equivalents (Yes/No)Readilycconvertiblecto cash?(Yes/No)Risk of change in cash value?(High/Med/Low)\begin{array}{c}\begin{array}{|l}\hline\\\\\\\\\hline \text {a.}\\\hline \text {b.}\\\\\hline \text {c.}\\\\\hline \text { d.}\\\\\hline \text {e.}\\\\\hline\end{array}\begin{array}{|l}\hline\\\\\\\\\hline \text {Chequing account in U.S. dollars.}\\\hline \text {Investment in a mutual fund that }\\\text {invests in common shares of public corporations.}\\\hline \text {Investment in long-term government}\\\text { bonds.}\\\hline \text {Term deposit maturing 100 days after}\\ \text {the year-end}\\\hline \text {Cash in a sinking fund account for a }\\\text {future re-purchase of common shares.}\\\hline\end{array}\begin{array}{|l}\hline \text {Cash and}\\ \text {cash }\\\text {equivalents}\\\text { (Yes/No)}\\\hline\\\hline\\\\\hline\\\\\hline\\\\\hline\\\\\hline\end{array}\begin{array}{|l|}\hline \text {Readily}\\ \text {cconvertible}\\ \text {cto cash?}\\ \text {(Yes/No)}\\\hline\\\hline\\\\\hline\\\\\hline\\\\\hline\\\\\hline\end{array}\begin{array}{l|}\hline\\ \text {Risk of change}\\ \text { in cash value?}\\ \text {(High/Med/Low)}\\\hline\\\hline\\\\\hline\\\\\hline\\\\\hline\\\\\hline\end{array}\end{array}

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