Definition
Price an asset will fetch at an auction (forced sale). Banks and other lenders value the asset offered as a collateral at its forced sale price and not on the price the asset will command when sold in the normal course of trading. Also called fire sale value.
Related Articles
- Splits and Buybacks Explained *
- An Explanation of Home Equity and the Related Loans *
- What is a Limited Liability Company (LLC)? *
- What is a C Corporation? *
- Introduction to Commodities *
- Introduction to Stocks *
- Fraud and Dispute Resolution *
- Introduction to Buying a Home *
Related Videos
http://www.businessdictionary.com/definition/liquidation-value.html
