The Liquidity of an Asset Indicates

question 49

Multiple Choice

The liquidity of an asset indicates

• A)its buying power
• B)the ease with which it can be converted into the medium of exchange without a significant loss of value
• C)the ease with which it can be converted into another asset
• D)how likely people are to convert it into the medium of exchange without a significant loss of value
• E)how easy it is to buy with a check

---

Definitions:

Terrestrial Insects

Insects that live primarily on land rather than in water or air, with adaptations to various terrestrial environments.

Tracheae

A network of small tubes in insects and some arachnids that facilitates respiratory gas exchange directly with body cells.

Gas Exchange

The biological process through which organisms exchange gases with their environment, including the intake of oxygen and the release of carbon dioxide.

Choanocytes

Specialized cells found in sponges that use their flagella to create a water flow and trap food particles.