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Luba_88 [7]
3 years ago
11

Which type of account typically has low liquidity?

Social Studies
1 answer:
Damm [24]3 years ago
7 0

First you should know that liquidity is the quality of the assets to be converted in money, cash. For an account, asset, to be liquid it must be quickly to sell, with a minimum loss of value. in any moment (for both). So, that’s why the Certificate of Deposit is the one that has the lowest liquidity, because it is not as quickly to sell and have the money as the other ones. It is just evidence a deposit, with intrest or discounts. A negociable title certificating, issued by the bank, that a deposit is amortizable in the short run.

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