Which term describes assets that can be quickly converted to cash without losing their value?

The correct term for assets that can be quickly converted to cash without losing their value is liquid assets. Liquid assets include forms of cash or cash equivalents, such as checking accounts, savings accounts, money market funds, and easily tradable stocks or bonds. The hallmark of liquid assets is that they maintain their value when converted to cash, making them readily accessible for transactions or emergencies.

In contrast, fixed assets refer to long-term tangible assets like real estate or machinery that are not easily converted to cash. Intangible assets are non-physical assets such as patents, trademarks, or goodwill, which cannot be converted to cash directly and often require time to realize any value. Non-liquid assets typically refer to those that cannot be quickly sold or converted to cash without a significant loss in value, such as property or collectibles. Understanding the distinction between these categories is crucial for managing finances and investments effectively.