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Net Liquid Assets

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Net Liquid Assets
A measure of a company's total liquid assets less current liabilities. Liquid assets include all cash and other assets that could easily be converted into cash, and current liabilities include debts and other obligations due in the next year. Determining net liquid assets helps show how easily a company can make new investments without financing.


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GFS ME employees also falsified reports to make their inexperienced retail clients appear to be wholesale clients, with the experience and net liquid assets of a million dollars required for trade at that time, Glynn added.
The company Web site says owners must have net liquid assets of at least $1 million, pay S150,000 per restaurant and 7 percent of monthly gross sales for advertising and royalty fees.
The penalty tax is imposed only if the corporation's net liquid assets, generally consisting of the excess of its current assets over current liabilities, are in excess of its reasonable business needs.
 
 
 
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