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Question
The ______ of business firms is measured by its ability to satisfy its short-term obligations as they come due.
The ______ of business firms is measured by its ability to satisfy its short-term obligations as they come due.
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Solution
The correct option is B Liquidity
The liquidity of business firms is measured by its ability to satisfy its short-term obligations as they come due. Liquidity describes the degree to which an asset or security can be quickly bought or sold in the market without affecting the asset's price.
The liquidity of business firms is measured by its ability to satisfy its short-term obligations as they come due. Liquidity describes the degree to which an asset or security can be quickly bought or sold in the market without affecting the asset's price.
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