Which One of the Following Statements Related to Liquidity Is

question 9

Multiple Choice

Which one of the following statements related to liquidity is correct?

• A)Liquid assets tend to earn a high rate of return.
• B)Liquid assets are valuable to a firm.
• C)Liquid assets are defined as assets that can be sold quickly regardless of the price obtained.
• D)Inventory is more liquid than accounts receivable because inventory is tangible.
• E)Any asset that can be sold within the next year is considered liquid.

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Address Block Merge Field

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