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Less liquidity indicates the business has solid capital investments that are not easily converted to cash. These investments can be buildings, land, or equipment that typically take time to sell.

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10y ago

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What is an advantage of a short term loan?

less risk for the lender (liquidity) -> less collateral and information required.


What does liquidity mean in accounting terms?

Liquidity means availability of enough cash to payout all the liabilities of business at the time when all liabilities or any liability become due to be paid.


What are my options if i want to invest in a fund that can help me maintain liquidity?

You should invest in money market funds if you want to maintain liquidity and preserve wealth. It is ideal for investors with a short-term outlook of less than a year.


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What is the ability to be used as or directly converted to cash called?

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Do Trust deeds have a limited liquidity?

I will assume that you mean liquidity as the quality if being readily available for cash. A deed is simply the instrument used to transfer and convey the title to real estate. Land transferred by a deed of trust would have the same liquidity as land transferred by a quitclaim deed or warranty deed. The liquidity of the real property described in th deed would depend on such factors as the equity in the land and the present market.


Shortage of liquidity in money market?

is the drain of excess liquidity from the money market