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Posted on May 31, 2024

Which of the following reasons best explains why a company that experiences seasonal fluctuations in sales may purchase investments in debt or stock securities?

Which of the following reasons best explains why a company that experiences seasonal fluctuations in sales may purchase investments in debt or stock securities? The company may invest for speculative reasons to increase the value in pension funds. The company may generate a significant portion of its earnings from investment income. The company may have excess cash. The company may invest for the strategic reason of establishing a presence in a related industry.

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