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Liquid Assets
Assets that can be quickly converted into cash without losing value. Examples include cash on hand, bank balances, and short-term investments. These are critical for covering short-term obligations and are a key part of liquidity analysis.
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Lump-Sum Purchase
A single payment made to buy multiple assets in one transaction, such as buying land and a building together. The…
Long-Term Debt
Financial obligations due more than one year from the reporting date. It includes bonds, bank loans, or lease obligations. Long-term…
Liquidation
The process of closing a business and distributing its assets to creditors and owners. Assets are sold to pay off…
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