Which of the Following Is Not a Liquid Asset

Log in for more information. 100 of inventory that is sold today for 100 cash.

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Before investing in any asset its important to keep in mind the assets liquidity levels since it could be difficult or take time to convert back into cash.

. Liquid assets are those which can be converted in to cash immediately without loosing any value. They do not include prepaid expenses and inventories. It can take months if not longer to sell a home at a reasonable price.

A liquid asset is a type of asset that can quickly and easily be converted into cash while retaining its market value. In personal finance assets like homes and land are illiquid or non-liquid assets. View the full answer.

Inventory is only a current assets it is not considered as a liquid asset. Liquid assets however are the assets that can be easily securely and quickly exchanged for legal tender. Which of the following asset is not an example of Intangible Fixed Assets.

D Money in your checking account. But in terms of liquid assets the operating expenses need to be made along with the obligations. The different liquid assets that are more liquid easily transferable and available in the well-established market are.

Liquid assets are used to calculate the liquidity or quick ratio of a firm. Liquid assets are a particularly important safeguard to have in the event that you experience financial hardship and need cash fast. B Money in a savings account.

Accounts receivables and investment in marketable securities are the liquid assets. Liquid assets differ from non-liquid assets such as property vehicles or jewelry which can take longer to sell and therefore convert to cash and may lose value in. Stocks and bonds are liquid assets because they are easy to sell quickly but property is considered a non-liquid asset because there is no guarantee it will sell within a.

Liquid assets are not shown separately in the financial statements. Which of the following is NOT an example of a liquid asset. Added 12292020 71434 AM.

What is a Fixed Asset. Negotiable order of withdrawal. 100 account receivable that is discounted and collected for 96 today.

In theory and practically liquid assets are more liquid and quickly convertible to cash as compared to current assets. Which of the following is not a liquid asset. When a person owns corporate stocks government or corporate bonds or mutual funds these are called a liquid assets.

A Certificate of deposit is NOT an example of a liquid asset. But you can claim a hardship withdrawal if your situation warrants a waiver of the 10 penalty for an early withdrawal. Which of the following are is not a fixed asset.

Non liquid assets are those which can not be encashed on immediate basis and might require sometime to get the same converted in to cash. 100 accounts receivable that will be collected in full next week. Land real estate or buildings are considered the least liquid assets because it could take weeks or months to sell them.

In other words a liquid asset can be quickly sold on the market without a significant loss of its value. 100 of inventory which is discounted and sold for 97 cash today. Liquid assets generally tend to have liquid markets with high levels of.

Generally liquid assets are traded on well-established markets with a large number of buyers and sellers. A checking account Weegy. Your liquid assets also help contribute to your overall net worth.

Which one of the following represents the most liquid asset. A Cash in your pocket B Money in a savings account C Corporate stock you own outright D Money in your checking account. Your inventory accounts receivable and stocks are examples of liquid assetsthings you can quickly convert to hard cash.

A savings account evidenced only by a computer entry for which the customer gets a monthly printout is called. Regarding this which of the following is the least liquid current asset. Anything of financial value to a business or individual is considered an asset.

A Cash in your pocket. A certificate of deposit b. C Corporate stock you own outright.

Cash Debtors Bills Receivables marketable securities are the example of liquid assets. How to Build Your Liquid Assets. A liquid asset is cash on hand or an asset other than cash that can be quickly converted into cash at a reasonable price.

An asset or possession that cannot be converted into cash quickly. A liquid asset is an asset that can easily be converted into cash within a short amount of time. IRA plans cannot be considered liquid if you havent reached qualifying retirement age because youd still be obliged to pay the IRS early withdrawal penalties.

Experts are tested by Chegg as specialists in their subject area. Who are the experts. Which of the following is not a liquid asset.

100 1 rating Credit cards Credit cards is not a liquid asset. We review their content and use your feedback to keep the quality high.

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