____ refer(s) to the ability to convert assets to cash quickly and at a fair market price and often increase(s) as one approaches the later stages of the investment life cycle.
A) Liquidity needs
B) Time horizons
C) Liquidation values
D) Liquidation essentials
E) Capital liquidations

Question

Quizplus · Accepted Answer

Liquidity needs refer to the ability to convert assets into cash quickly and at a fair market price. As investors approach the later stages of their investment life cycle, their need for liquidity often increases to cover expenses or to reallocate assets more conservatively.

____ Refer(s) to the Ability to Convert Assets to Cash