Accounts receivable-inventory are some of liquid assets

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Reference no: EM13942021

Critically discuss the following view: “Accounts receivable and inventory are some of the most liquid assets a firm owns and its market value is typically fairly close to book value. Even so, in the eyes of many lenders, these assets make for inadequate collateral on loans, particularly if the business looking to borrow the money is in a liquidity crisis. Why do you think this is the case?”

Reference no: EM13942021

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