liquidity
/ɫɪˈkwɪdəti/
The ease of converting assets to cash
liquidity in a sentence
“The company maintains high liquidity to meet short-term obligations.”
Origin of liquidity
From Latin liquidus (fluid, liquid), from liquere (to be fluid)
Related Words
leverage
Using borrowed capital to increase potential returns
amortization
Spreading payments over multiple periods
depreciation
Decrease in asset value over time
equity
Ownership interest in a company; assets minus liabilities
dividend
A portion of profits distributed to shareholders
volatility
The degree of variation in trading prices