Short-term investments: I. supply liquidity.II.contents an important part of most acquisition programs. IV. deliver resources for emergencies
Some common examples of short-term investments contain CDs, cash market accounts, high-yield savings funds, government bonds, and Treasury bills. Usually, these assets are high-quality and highly liquid assets or investment cars.
Short-term investments also understood as marketable securities or temporary investments are financial investments that can readily be converted to money, typically within five years. Many short-term investments are traded or converted to money after only three-12 months. Short-term investments are disclosed on the support side of the balance sheet.
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