Respuesta :
Statement is true. Liquidity describes your ability to trade an asset for cash. The less complicated it is to convert an asset into cash, the more liquid it is.
And money is generally regarded the most liquid asset. Cash in a financial institution account or credit union account can be accessed quickly and easily, by using a financial institution switch or an ATM withdrawal.
Why is cash most liquid asset?
Cash is your most liquid asset due to the fact you don't need to take similarly steps to convert it – it is already cash. You can use it to pay for a desirable or carrier immediately and also use it to settle any awesome debts. Cash is generally held in checking accounts, savings bills or cash market accounts.
Learn more about cash most liquid assets here:
