1. Coins and currency on hand and in bank account balances. Because cash is a nonearning asset, individuals and companies usually keep their cash balances to the minimum level required to sustain operations. 2. The value of assets that can be converted into cash immediately. Usually includes bank accounts and marketable securities, such as government bonds etc. Cash equivalents on balance sheets include securities that mature within 90 days.
The rate at which the general level of prices for goods and services is rising and, consequently, the purchasing power of currency is falling. Central banks attempt to limit inflation and avoid deflation, in order to keep the economy running smoothly. The real value of a unit of currency today is less than it was yesterday due to rising prices.
1. To convert an asset, talent, passion, event, object or transaction into money by selling, licensing, packaging, or using it as security for a loan. Can include any form of currency or something with transferable value; stock, equipment, financial instruments, etc. 2. To convert into a source of cash flow. 3. To express value in terms of money. 4. To establish something as a currency, especially by minting coins. 6. To convert an economy from a barter system to the exchange of money.
1. A amount of coins and bills in somebody’s possession at any one time. 2. The amount of money held in a bank account or available on credit to somebody. 3. The amount somebody is paid for working. 4. Assets or property that can be converted into cash. 5. The official currency of a country. 6. A commodity, usually gold, that is an official medium of exchange. 7. A measure of value. 8. A medium of exchange that can be used to purchase goods and services.