In context of securities, easily traded or converted to cash.
In context of a corporation, the state of having enough cash and cash equivalents to cover short-term obligations.

Investing Essentials

Copyright © 2011 Campbell R. Harvey, Professor of Finance, Fuqua School of Business at Duke University

Term of the Day

Cumulative voting

A system of voting for directors of a corporation in which shareholder's total number of votes is equal to the number of shares held times the number of candidates.

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