Community Web Version Now Available
Ryan
In finance field, What's the difference between liquidation and extinguishment In the vocabulary of finance field, What's the difference between liquidation and extinguishment?
Jan 14, 2016 12:57 AM
1
0
Answers · 1
To liquidate an asset means to convert something like real estate or a bond into (usually) cash money, which is said to be "liquid" because it can "flow" in any direction and can be used to buy many different things. To extinguish an asset (a security or a liability) means to make it go away completely, for example paying off a debt extinguishes that liability.
January 14, 2016
Ryan
Language Skills
Chinese (Mandarin), English
Learning Language
English