1. Analyzing Investing Activities
Chapter IV

2. Cash and Cash Equivalents
Cash equivalents are highly liquid, short-term investments that are:
Readily convertible into cash
So near maturity that they have minimum risk pf price changes
Liquidity is the degree of how fast an asset can be converted into cash at a normal value.

3. Receivables
Receivable are amounts that arise from the sale of products or services, or loaning of money.
Account receivables are amounts that arise from the sale of products or services.
Notes receivables refer to formal written promises of indebtedness due.