I'm not talking about "marketable securities" or other accounting near misses, but CASH. I doubt corporations put $30bn in any old "bank". So how does it work? Does value fluctuate? Risk?
2006-07-12 08:29:00 · 5 answers · asked by Money Minded 2 in Business & Finance ➔ Corporations
The balance sheet item that is called "Cash" is actually a combination of cash and money market securities. It is likely that they hold T-Bills, Commercial Paper, Banker's Acceptances and lend money in the Repo Market.
2006-07-12 08:33:58 · answer #1 · answered by Ranto 7 · 1⤊ 1⤋
Na, they have this big (very big) building in Nebraska where they keep all this cash. It's like a mini-Ft. Knox. They locate it in Nebraska because the land is cheap and hardly any people are around - easy to notice anyone driving away in and 18-wheeler full of money.
2006-07-12 19:37:39 · answer #2 · answered by TheSlayor 5 · 0⤊ 0⤋
They need cash in order to have liquidity so that they can purchase another company quickly if the opportunity arises
2006-07-14 14:10:39 · answer #3 · answered by ps2754 5 · 0⤊ 0⤋
It's under Warren Buffet's mattress.
2006-07-12 15:32:02 · answer #4 · answered by doctor_bee 5 · 0⤊ 0⤋
generally will hold them in very short term treasuries or other even overnight, devices like that
2006-07-12 15:33:49 · answer #5 · answered by Anonymous · 0⤊ 0⤋