The term finance means money in very broad terms. Cash refers to immediate spendable funds such as currencies and coins. Cash equivalent is a short-term (less than three months) investment such as treasury bills. Cash and cash equivalents are the most convenient assets of a company, and they can be immediately used for current consumption. Although the term fund is sometimes used same with cash, it has a different meaning. Fund refers to money, which is preserved for a specific objective whether in the form of cash, credit, cheque, or other resources. The main difference between cash and fund is that cash is a short-term asset, whereas fund is a short-term or long-term liability for a company.