Liquidity’ in financial terms is: A. a feature of money only B. the best measure of risk of a financial asset C. the ease with which an asset can be sold at the published market price D. to lower the rate of return for an asset

Liquidity’ in financial terms is: A. a feature of money only B. the best measure of risk of a financial asset C. the ease with which an asset can be sold at the published market price D. to lower the rate of return for an asset

International Financial Management

14th Edition

ISBN:9780357130698

Author:Madura

Publisher:Madura

Chapter1: Multinational Financial Management: An Overview

Section: Chapter Questions

Problem 2ST

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Question

37. ‘Liquidity’ in financial terms is: A. a feature of money only B. the best measure of risk of a financial asset C. the ease with which an asset can be sold at the published market price D. to lower the rate of return for an asset

Definition Definition Percentage gain or loss from a specific investment over time. The rate of return is the difference between the closing and initial values of an investment divided by the initial value of the investment. The closing value includes any intermediate cash flows such as dividends or interest amounts.

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