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1.1. What are Money market securities characteristics? Why idle cash should be invested in money market rather than in other financial markets?
1.2. Which of the following statements related to the BAT model is correct?
I. The BAT model is used to determine the target cash balance for a firm.
II. The BAT model is rarely used in business due to its complex nature.
III. The BAT model is a model that helps eliminate a firm's collection float.
IV. One disadvantage of the BAT model is the fact that it assumes all cash outflows are known with certainty.
A. I and II only
B. III and IV only
C. II and III only
D. I and III only
E. I and IV only
Please answer the questions in detail for Q1.1. thanks
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