Overview
Read the document to complete 2.4 Exercise #2
Construct a work sheet with your transaction, precautionary, and speculative demand items with the risk, liquidity, and yield requirements for each of 20 items. Add a column for the type of investment you would seek to use for each item given the risk, liquidity and yield requirements.
Transactions Demand | |||||
Number | Item | Risk | Liquidity | Yield | type of Investment |
1 | Food | low | weekly | low | checking account |
2 | Car | low | monthly | low | money market |
. | |||||
. | |||||
20 | |||||
Precautionary Demand | |||||
Number | Item | Risk | Liquidity | Yield | type of Investment |
1 | |||||
2 | |||||
, | |||||
, | |||||
5 | |||||
Speculative Demand | |||||
Number | Item | Risk | Liquidity | Yield | type of Investment |
1 | |||||
2 | |||||
. | |||||
. | |||||
5 |