Select your language

Suggested languages for you:
Log In Start studying!
Answers without the blur. Just sign up for free and you're in → Illustration


Horngren'S Financial And Managerial Accounting
Found in: Page 216

Short Answer

What does liquidity mean?


Liquidity refers to the measure which indicates how quickly the item can be converted into cash.

See the step by step solution

Step by Step Solution

Step 1: Explanation on Classified balance sheet

Classified balance sheet is type of balance sheet which places the assets and liabilities as per the specific category.

Step 2: Explanation on Liquid Assets

Liquid assets refers to the assets which can be realized into cash quickly. Cash is considered as highly liquid assets.

Most popular questions for Business-studies Textbooks


Want to see more solutions like these?

Sign up for free to discover our expert answers
Get Started - It’s free

Recommended explanations on Business-studies Textbooks

94% of StudySmarter users get better grades.

Sign up for free
94% of StudySmarter users get better grades.