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Bankrupt vs Liquidation - What's the difference?

bankrupt | liquidation |

As nouns the difference between bankrupt and liquidation

is that bankrupt is one who becomes unable to pay his or her debts; an insolvent person while liquidation is the act of exchange of an asset of lesser liquidity with a more liquid one, such as cash.

As an adjective bankrupt

is in a condition of bankruptcy; unable to pay one's debts.

As a verb bankrupt

is to force into bankruptcy.

bankrupt

English

Adjective

(en adjective)
  • In a condition of bankruptcy; unable to pay one's debts.
    • a bankrupt merchant
  • Having been legally declared insolvent.
  • Destitute of, or wholly lacking (something once possessed, or something one should possess).
    • a morally bankrupt politician
  • * Sheridan
    • bankrupt in gratitude
    (Webster 1913)

    Synonyms

    * See also

    Derived terms

    * bankruptcy * go bankrupt

    See also

    * defunct * illiquid * insolvent

    Verb

  • To force into bankruptcy.

    • Noun

    (en noun)
  • One who becomes unable to pay his or her debts; an insolvent person.
  • (UK, legal, obsolete) A trader who secretes himself, or does certain other acts tending to defraud his creditors.
    • (Blackstone)

    References

    *

    liquidation

    English

    Noun

    (en noun) (wikipedia liquidation)
  • The act of exchange of an asset of lesser liquidity with a more liquid one, such as cash.
  • The selling of the assets of a business as part of the process of dissolving the business.
    • The store is having a liquidation sale, everything must go as they go out of business.

    Related terms

    * liquid * liquidate * liquidator * liquidity * liquidizer * liquor