The amount of time that is expected to elapse until an asset is realized or otherwise converted into cash is referred to as
A) solvency.
B) financial flexibility.
C) liquidity.
D) exchangeability.

Question

Quizplus · Accepted Answer

Liquidity refers to the ability of an asset to be easily converted into cash within a short period of time. Therefore, the amount of time that is expected to elapse until an asset is realized or otherwise converted into cash is a measure of its liquidity.

The Amount of Time That Is Expected to Elapse Until