The eases with which an asset can be converted into cash is called
A) cashability.
B) velocity of money.
C) open-market operations.
D) liquidity.
E) store of valuE.

Question

Quizplus · Accepted Answer

Liquidity refers to how easily an asset can be converted into cash without affecting the price of the asset. The more liquid an asset is, the easier it is to sell it quickly for full market value.

The Eases with Which an Asset Can Be Converted into Cash