If an asset is described as something that is easily and readily converted into money without any loss in purchasing power,it is said to be
A)earning high interest.
B)highly liquid
C)losing face value.
D)holding value over time.

Question

Quizplus · Accepted Answer

An asset that can be easily and readily converted into cash without any loss in purchasing power is known as a highly liquid asset. This means that it can be sold quickly and easily for its full value. Examples of highly liquid assets include cash, stocks, and government bonds. Earning high interest or holding value over time are not necessarily indicators of liquidity, and losing face value would indicate a decline in overall value rather than liquidity.

If an Asset Is Described as Something That Is Easily