Liquidity/Definition: Difference between revisions

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(adjective) The speed with which an asset can be exchanged for cash.
The quantity of available assets in its possession that an organisation could rapidly exchange for cash (assets that cannot be exchanged for cash at a particular time are considered to be "illiquid" at that time).
 
:::(noun) The amount of available assets that can be rapidly exchanged for cash (assets that cannot be exchanged for cash at a particular time are considered to be "illiquid" at that time).

Revision as of 10:30, 27 March 2008

The quantity of available assets in its possession that an organisation could rapidly exchange for cash (assets that cannot be exchanged for cash at a particular time are considered to be "illiquid" at that time).

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