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Accountancy · 2026 · 1 mark
CBSE 2026 · Region 2 · Set 1 · Q27
Statement-I: Cash equivalents mean short term highly liquid investments that are readily convertible into known amounts of cash and which are subject…
Statement-I : Cash equivalents mean short term highly liquid investments that are readily convertible into known amounts of cash and which are subject to an insignificant risk of changes in value. Statement-II : An investment normally qualifies as a cash equivalent only when it has a short maturity period of three months or more from the date of acquisition. Choose the correct alternative from the following :
Official answer
(D)
Statement I is true and Statement II is false
Marking-scheme solution
(D)
Statement I is true and Statement II is false
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CBSE Class 12 Accountancy past-paper question from the 2026 board exam, with the answer as CBSE’s own marking scheme gives it. Where our answers come from.