Which of the following are certain highly liquid financial assets that do not function directly or fully as a medium of exchange but can be readily converted into currency?

Multiple choice question.

Paper money

Near monies

Checkable deposits

Capital assets

1 answer

The correct answer is Near monies.

Near monies are highly liquid financial assets that are not currency themselves but can easily be converted into cash or used to make transactions. Examples include savings accounts and money market accounts.

Paper money and checkable deposits do function directly as a medium of exchange, while capital assets are not considered liquid financial assets.