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Liquidity
LIQUIDITY

Definition: (finance) The state of owning things of value which can be easily exchanged for cash.
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* All seven elements should be in.


1. Ownership is full or complete and not encumbered in any way. (See perfect LEGALITY (1).)

2. Accessibility to things owned is assured and/or guaranteed. (See perfect SAFEKEEPING (1).)

3. Lifespan, presence or existence of the things owned is adequate to have real meaning. (See perfect HEDGE (2).)

4. What will be got in exchange for things will be considered as adequate or enough in the circumstances. (See perfect VALUE (1).)

5. The strength of cash that will be got, after exchange is concluded, will be considered as stable in the currency market. (See perfect WORTH (3).)

6. Offer for exchange of things for cash will be snapped up in good time. That is, things of value will be in high demand (See perfect EASINESS (1).)

7. Things will be desired to be repossessed, if thought necessary, by the seller, in the future. (See perfect LANDOWNERSHIP.)
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