Cash equivalent

Cash equivalent,

Definition of Cash equivalent:

  1. Certificate of deposit (CD), marketable security, negotiable financial instrument (such as a cashiers check), etc., that has a very high degree of convertibility into cash (liquidity).

How to use Cash equivalent in a sentence?

  1. I didnt realize that it was a cash equivalent and I was glad because that would help me out financially.
  2. Current assets on a companys balance sheet include both cash and cash equivalent s given they can be readily convertible to cash.
  3. You may want to offer someone a cash equivalent if you have an excess of a resource and want to get rid of it.

Meaning of Cash equivalent & Cash equivalent Definition