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I, on the other hand, have a degree from the University of Life, a diploma from the School of Hard Knocks, and three gold stars from the Kindergarten of Getting the Shit Kicked Out of Me.
Restricted cash, in contrast to unrestricted cash freely available for a company to spend or invest, refers to money that is held for a specific purpose and therefore not available to the company for immediate or general business use. Restricted cash appears as a separate item from the cash and cash equivalents listing on a company’s balance sheet or other financial statement, and the reason for the cash being restricted is usually disclosed in the accompanying notes to financial statements. Cash can be restricted for a number of possible reasons, such as equipment purchases, other capital investments, or loan repayment.
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