Sia
Question
Statistics
Posted 4 months ago
Which of the following best defines liquidity?
Choose 1 answer:
(A) The ability to convert a store of value to cash
(B) The expenses of negotiating and executing an exchange
(C) Uncertainty about the value of an asset
(D) The amount that will be repaid at the end of a bond's term
(E) Investing in several different assets with unrelated risks
Sign in to unlock the answer
Answer from Sia
Posted 4 months ago
Solution by Steps
step 1
To define liquidity, we consider the characteristics of assets that are considered liquid. Liquidity refers to the ease with which an asset can be converted into cash without affecting its market price
Answer
A
Key Concept
Liquidity
Explanation
Liquidity is the ability of an asset to be quickly converted into cash without a significant loss in value.
Not the question you are looking for? Ask here!
Enter question by text
Enter question by image
Upgrade to Asksia Pro
Join a AskSia's Pro Plan, and get 24/7 AI tutoring for your reviews, assignments, quizzes and exam preps.
Unlimited chat query usages
Strong algorithms that better know you
Early access to new release features
Study Other Question