- liquidity
-
liq·uid·i·ty /li-'kwi-də-tē/ n: the quality or state of being liquid
Merriam-Webster’s Dictionary of Law. Merriam-Webster. 1996.
- liquidity
-
n.The amount of cash available to a person or business; the ease with which a person or business can obtain cash.
The Essential Law Dictionary. — Sphinx Publishing, An imprint of Sourcebooks, Inc. Amy Hackney Blackwell. 2008.
- liquidity
-
How easily one's assets can be converted back into readily available cash or the ability of the market in a particular security to absorb a reasonable amount of buying or selling at reasonable price changes. Liquidity is an important characteristic of a good market.+liquidityUSAThe ease with which an asset can be converted to cash without a significant loss in value.In the context of finance, the extent to which an asset can be readily bought or sold in the market without affecting its price. A market is said to be liquid if the instruments traded on that market can easily be bought or sold in large quantities with minimum or no loss of value.In the context of a company's financial condition, the ability to meet obligations when they come due with minimum loss. Liquidity is managed by monitoring and projecting cash flows to maintain a balance between short-term assets and short-term liabilities.
Practical Law Dictionary. Glossary of UK, US and international legal terms. www.practicallaw.com. 2010.