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    Business A-Level

    Liquidity

    What Liquidity means in Business A-Level, as defined for Pearson Edexcel.

    Definition of Liquidity

    The ability of a business to pay its short-term debts.
    Pearson Edexcel · Managing finance (study guide)

    Topics that use Liquidity

    Related terms

    Using Liquidity in the exam

    Definition questions usually carry one or two marks, and examiners look for the precise wording. Write the definition from memory, check it against the version above, and then use the term in a longer answer on the same topic so it sticks.

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    All Business A-Level terms