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Investment pools

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Explain the difference between an internal cash and investments pool and an external cash and investment pool and describe some of the differences in accounting treatment between the two.

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Investment pools is discussed very comprehensively in this explanation.

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Investment pool provides a liquid vehicle for investing idle funds and to obtain the best interest rate that is available at the time of investment.

The internal cash investment pools are created by the local governments for providing an investment vehicle for the government funds. The external cash investment pools are created by the local government for providing an investment vehicle to its ...

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