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Liquidity of a company means what exactly

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(Querist)
17 November 2013 sir what does it mean the liquidity of a company
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Kaustuv

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Kaustuv (Expert)
17 November 2013 It means exactly as it applies to all of us- how much cash ( or equivalents which can be readily converted into cash) do we have in our wallets..
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Nikhil Kaushik

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Nikhil Kaushik (Expert)
17 November 2013 in broader terms liquidity refers to the availability of cash or cash equivalents in the company.

but liquidity can have different connotations. For eg in stock markets, it refers to availability of buyers and sellers
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