Selling assets to raise capital is called what?

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Multiple Choice

Selling assets to raise capital is called what?

Liquidation is the process of converting assets into cash. When someone sells assets—like equipment, inventory, or real estate—to raise funds, that activity is called liquidation. This differs from a lump-sum, which means receiving a single payment amount rather than the act of turning assets into cash. The other terms listed aren’t related to the act of selling assets to raise capital.

Liquidation is the process of converting assets into cash. When someone sells assets—like equipment, inventory, or real estate—to raise funds, that activity is called liquidation. This differs from a lump-sum, which means receiving a single payment amount rather than the act of turning assets into cash. The other terms listed aren’t related to the act of selling assets to raise capital.

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