Which list ranks assets from most to least liquid?
A)currency,demand deposits,money market mutual funds
B)currency,money market mutual funds,demand deposits
C)money market mutual funds,demand deposits,currency
D)demand deposits,money market mutual funds,currency

Question

Quizplus · Accepted Answer

Currency is the most liquid asset as it can be easily and quickly converted into other goods and services. Demand deposits are also highly liquid as they can be withdrawn immediately from a bank account. Money market mutual funds are also liquid, but not as much as currency and demand deposits as there may be some delay and fees involved in redeeming shares.

Which List Ranks Assets from Most to Least Liquid