Business Ratios Question:

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What is Liquidation?

Business Ratios Interview Question
Business Ratios Interview Question

Answer:

Liquidation is a term commonly used when a company sells parts of its business for cash, or when it sells assets in order to pay debts. Liquidation may also involve the winding down or the closing of a business.

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What is Liquidity?Can you please explain the difference between liquidity and liquidation?