ECONOMICS (CBSE/UGC NET)

ECONOMICS

MONEY

Question [CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
The ease with which assets can be converted into cash
A
Liquidity
B
Return
C
Futures
D
Options
Explanation: 

Detailed explanation-1: -Liquidity refers to the ease with which an asset, or security, can be converted into ready cash without affecting its market price. Cash is the most liquid of assets, while tangible items are less liquid.

Detailed explanation-2: -Securitization involves taking an illiquid asset (or group of assets) and consolidating with other assets in an effort to create a more liquid asset that can be sold to another party.

Detailed explanation-3: -Liquidity is a company’s ability to convert assets to cash or acquire cash-through a loan or money in the bank-to pay its short-term obligations or liabilities.

Detailed explanation-4: -Liquidity is the ease with which an asset or collateral can be converted into cash without losing its monetary value. Assets and collateral can therefore be divided into different liquidity levels depending on how efficiently they can be liquidated.

Detailed explanation-5: -Cash. Treasury bills and treasury bonds. Certificates of deposit. Bonds. Stocks. Exchange traded funds (ETFs). Mutual funds. Money market funds. More items •10-Aug-2021

There is 1 question to complete.