Accounting liquidity
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Accounting liquidity
Accounting liquidity (liquidity) is a measure of the ability of a debtor to pay their debts as and when they fall due. It is usually expressed as a
ratio
or a
percentage
of current
liabilities
.
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This article uses material from
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®
and is licensed under the
GNU Free Documentation License
Campbell R. Harvey's Hypertextual Finance Dictionary
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Accounting liquidity
The ease and quickness with which
assets
can be converted to cash.
Copyright © 2000,
Campbell R. Harvey
. All Rights Reserved.
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