Baxter's,Inc.generally holds $125 000 in cash in case an unexpected investment opportunity arises.Which one of the following refers to holding cash for this type of purpose?
A) transaction motive
B) reserve motive
C) opportunistic motive
D) speculative motive
E) precautionary motive
Correct Answer:
Verified
Q4: The economic order quantity (EOQ)is best defined
Q5: Don,a local building contractor,keeps an extra $5000
Q6: An increase in a firm's average collection
Q7: A disbursement account into which funds are
Q8: Abco International offers credit terms of 2/7,net
Q10: A firm has determined that 66 per
Q11: Which one of the following is the
Q12: The transaction motive for holding cash refers
Q13: Which one of the following defines the
Q14: What is the primary purpose of a
Unlock this Answer For Free Now!
View this answer and more for free by performing one of the following actions
Scan the QR code to install the App and get 2 free unlocks
Unlock quizzes for free by uploading documents