Page 728 - Large Business IRS Training Guides

Cash Position

The cash position of
an SFC is the sum of the following:

• Cash held by the SFC;

accounts receivable of the SFC; and
• Net

receivable is the excess of an SFC’s
• Net accounts

receivable (if any) over its accounts payable.
accounts

market value (FMV) of certain assets held by
• The fair

called cash-equivalent assets.
the SFC,

• The value of the of the cash-equivalent
asset must
generally
be adjusted by the FMV of any cash-equivalent

asset
hedging transaction with respect to the cash-
equivalent
asset.

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