Banking Term: Liquidity

Find important banking term that is useful in upcoming banking exam.

Created On: Mar 19, 2015 14:31 IST

It is the degree to which, an asset can be quickly and cheaply turned into money, which by definition, is completely liquid.

A current account bank deposit is a liquid asset because it can be withdrawn immediately at little cost.

An office building by contrast will take a considerable time to dispose of and estate agent’s fees and other costs will be incurred

A company or individual is said to be liquid if a high proportion of its or his assets are held in the form of cash or readily marketable securities.

Jagran Play
रोमांचक गेम्स खेलें और जीतें एक लाख रुपए तक कैश
ludo_expresssnakes_ladderLudo miniCricket smash
ludo_expresssnakes_ladderLudo miniCricket smash

Related Categories

Related Stories

Comment (0)

Post Comment

2 + 2 =
Disclaimer: Comments will be moderated by Jagranjosh editorial team. Comments that are abusive, personal, incendiary or irrelevant will not be published. Please use a genuine email ID and provide your name, to avoid rejection.