Yahoo Canada Web Search

Search results

  1. Jun 27, 2024 · A liquid asset is cash on hand or an asset that can be easily converted to cash. In terms of liquidity, cash is supreme since cash as legal tender is the ultimate goal.

  2. Oct 14, 2024 · A liquid asset is either available cash or an instrument that can easily be converted to cash. Liquid assets are perceived as being essentially identical to cash...

    • Steven Nickolas
    • 2 min
  3. Jul 19, 2022 · Financial liquidity is the measurement of how quickly an asset can be converted to cash. Liquidity impacts companies, individuals, and markets.

    • Jim Mueller
    • Cash. Includes physical money (local and foreign currency) as well as the savings account and/or current account balances.
    • Cash equivalents. Cash equivalents are investment securities with a maturity period not exceeding a year. Examples include treasury bills, treasury bonds, certificates of deposit, and money market funds.
    • Marketable securities. Stocks, bonds, and exchange traded funds (ETFs) are examples of marketable securities with a high degree of liquidity. They can be sold easily and it usually takes just a few days to receive the cash from their sale.
    • Accounts receivable. Money owed to a business by its customers for goods and services provided makes up accounts receivable. The liquidity of accounts receivable varies.
  4. Jul 30, 2024 · Liquidity describes your ability to exchange an asset for cash. The easier it is to convert an asset into cash, the more liquid it is. And cash is generally considered the most liquid asset.

  5. Jun 27, 2024 · A liquid asset is anything that can be transformed into cash quickly in a short amount of time and with no loss in value. Examples of liquid assets include cash, inventory, accounts receivable, marketable securities, tax refunds, and cash alternatives. Cash is the most liquid asset in the world.

  6. People also ask

  7. Apr 11, 2024 · Yes, cash is an asset. It is the first in-line item on a company’s balance sheet. Cash is also the most liquid asset a company has available, making it a current asset. The liquidity of cash is what the liquidity of all other assets is measured against.

  1. People also search for