Cash Equivalents
Cash equivalents are highly liquid investments that can be easily converted into cash. In the context of data science, cash equivalents can refer to the value of assets that can be quickly and easily converted into cash, such as short-term investments, treasury bills, and money market funds. These assets are considered to be low-risk and highly liquid, making them an attractive option for investors who want to maintain a high degree of liquidity while still earning a return on their investment. In data science, cash equivalents are often used as a benchmark for measuring the performance of other investments, as they provide a baseline for comparison.
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