Question

Barry gets hurt at work and must go on disabililty for 4 months. On disability, the pay that Barry receives is 60% of his normal net pay. Barry should be fine if he has a plan for _____.

Answer 1

Answer:

C. Managing his liquidity

Step-by-step explanation:

Complete question below:

Barry gets hurt at work and must go on disabililty for 4 months. On disability, the pay that Barry receives is 60% of his normal net pay. Barry should be fine if he has a plan for _____. a. financing b. managing his income c. managing his liquidity d. protecting his assets

Barry should be fine if he has a plan for managing his liquidity.

Liquidity can be defined as the ease with which an asset or security can be converted into ready cash without affecting its market price.

Barry would be fine if he has plan of converting his assets and securities into cash.

There are two types of liquidity

1. Market liquidity

2. Accounting liquidity

Cash is the most liquid of assets.