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liquid asset
(redirected from Market liquidity)

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liquid asset

Possession or valuable that is in the form of cash or can easily be turned into cash. Liquidity is important for a company because if it does not have enough liquid assets, it can go bankrupt as a result of a cash flow crisis.
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In any businesses, small or big alike, market liquidity means an asset that can be sold quickly without the risk of having progressive downfall in the price and with the littlest financial lost.
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