Meaning of ACCOUNTING LIQUIDITY in English

ACCOUNTING LIQUIDITY

refers to the speed and certainty with which assets can be converted to cash

Note: the more liquid a firm's assets, the less financial distress the firm will experience; but liquid assets generally have lower return rate than fixed assets. For example, cash generates no income for the firm.

Sean Woo's Finance, GIS and real estate English glossary.      Английский глоссарий по ГИС(Географическая информационная система) и недвижимости Sean Woo's Finance.