In the economic sphere, it is called " active liquid" to the assets of a company which can be interchanged, ie, one who is in a position to be converted to money in cash in a short period of time. These operations would not detract any value from the asset; on the contrary, they could even increase it. It should be noted that the possibilities that the owner has of achieving the conversion of the asset (the purchase for the exact price of the piece of value), will define its liquidity. In the event that in the market it is difficult to find an individual capable of liquidating the established sum, the asset will now be fixed.
An asset is all the goods, rights and other resources that a person or company can have; These arise from the sum of the liabilities (set of debts that the institution owns) and the capital (contributions of the partners of the company, in the form of goods and securities). Assets are always ready to be converted into economic benefits for the company; however, this will depend on whether it is circulating (it could be economically exploited in a short period of time) or whether it is fixed (it will be one of the assets to be exploited for more than a year).
Liquidity, on the other hand, is the investment capacity that the company has, which can be converted into cash. The easier the process of change, the more liquid an asset is considered. This must be controlled sporadically, especially when credit is reduced; For this, the liquidity ratio is put into use, where debts and income are analyzed.
