The term ‘Near money’ is best described as
- a financial instrument that is readily convertible to cash
- government financial instrument that is convertible to cash
- time deposits with low interest rates
-
a financial asset that is convertible to cash
The correct answer is: D
Explanation
Near money refers to non-cash assets that are highly liquid and easily converted to cash. They are sometimes referred to as quasi-money or cash equivalents. Examples of near money are: Savings accounts held in commercial banks