One way to think of liquid assets is as a reservoir,with money moving in as wages are received and moving out as living expenses are paid.

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Liquid assets are assets that can be easily converted into cash, such as savings accounts or short-term investments. They act as a reservoir of funds that individuals can draw from to pay living expenses or unexpected bills. As income is received, it flows into this reservoir, and as expenses are paid, money flows out.

One Way to Think of Liquid Assets Is as a Reservoir,with