Marketable securities are __________ debt instruments with __________ returns than cash.Group of answer choicesshort-term, lower

Marketable securities are short-term debt instruments with lower returns than cash.

Explanation

Marketable securities are financial instruments that are available for buying and selling on public exchanges or markets, typically characterized by their high liquidity. These instruments usually have a short-term maturity, making them an attractive option for investors seeking to earn a return on their cash reserves while maintaining the flexibility to access their funds quickly.

In comparison to cash holdings, which typically yield very low or no interest, marketable securities often offer a slightly higher return due to the interest accrued on the debt instruments that comprise them. However, the returns on marketable securities are still generally considered lower than other forms of investment, such as equities or long-term bonds, thus making them suitable for conservative investors or organizations looking for stability and liquidity.