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What is the difference Between Liquidity and Liquid Assets?

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Question added by Mohamed Kamal , Accounting Manager , El-Nafea United Company
Date Posted: 2017/09/12
Muhammad Nadeem Nadeem
by Muhammad Nadeem Nadeem , teacher , Government School

Liquidity is the type a high volume of activity in a market.

But a Liquid assets an asset that can be converted into cash quickly, with minimal impact to the price received in the open market.

JUBY REBELLOW
by JUBY REBELLOW , Senior Executive Accounts , C K K NAIR CONTAINERS

Liquid asset treated as cash because we can easily convert them in to cash 

liquidity means the ability to pay a company's debts.

 

Mohamed Kamal
by Mohamed Kamal , Accounting Manager , El-Nafea United Company

A company's liquid assets can easily be converted into cash to meet financial obligations on short notice. Liquidity is the ability of a business to pay its debts using its liquid assets.

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