What are the advantages of having a large cash balance? Please describe and provide examples

Prior to the financial recession in the late 2000s, some companies had built up significant cash balances. By 2010, discussions began about whether “cash hoarding” by firms was an appropriate activity or if it was hurting the economic recovery. Research this issue and answer the following questions:

• What are the advantages of having a large cash balance? Please describe and provide examples.
• What are the disadvantages of having a large cash balance? Please describe and provide examples.
• What companies currently have sizable amounts of cash and liquid investments on their balance sheets?

Once you have posted your response into the Message field on the forum, your next step is to peruse the postings of your fellow classmates.

Use the subject line as an advanced organizer to allow your classmates and the instructor to have some idea of what you’re posting is about, for example a subject line “response to discussion question” is not appropriate. Your responses to fellow students should contain substance, should be more than just opinion, and must go beyond a simple agreement or disagreement.

Compose your work using a word processor and save it, as a Plain Text or an .rtf, to your computer. When you’re ready to make your initial posting, please click on the “Create Thread” button and copy/paste the text from your document into the message field. Be sure to check