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This question is about employer.
What are cash assets?
Cash assets are cash holdings or any asset convertible to cash in three months. These assets are important in that they show a company's financial ability to conduct daily business.
In addition to existing cash assets, various types of holdings also fall into this category. Treasury bills and money market funds are considered highly liquid and able to be converted to cash in a very short period.
These differ from other assets a company may possess that are less quickly converted to cash such as property or buildings or equipment.
The same process is applied to calculate an individual's cash assets. Monies from checking and savings accounts, along with stocks and maturing bonds, provide a good assessment of an individual's cash value. This calculation is often done to determine someone's ability to repay a loan.
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