The ability to turn an asset into cash quickly at a reasonable transaction cost and without loss of principal is:

Question

Quizplus · Accepted Answer

Liquidity refers to the ability of an asset to quickly and easily be turned into cash without losing value. It is a crucial consideration for investors as it allows them to access funds when needed or take advantage of investment opportunities. Marketability and liquidity substitutes are related concepts, but do not fully capture the idea of being able to quickly convert an asset into cash without loss of principal.

The Ability to Turn an Asset into Cash Quickly at a Reasonable