How Do You Spell REVOLVENCY?
Pronunciation: [ɹɪvˈɒlvənsi] (IPA) 
Correct spelling for the English word "Revolvency" is [ɹɪvˈɒlvənsi], [ɹɪvˈɒlvənsi], [ɹ_ɪ_v_ˈɒ_l_v_ə_n_s_i] (IPA phonetic alphabet).
Pronunciation: [ɹɪvˈɒlvənsi] (IPA)
Correct spelling for the English word "Revolvency" is [ɹɪvˈɒlvənsi], [ɹɪvˈɒlvənsi], [ɹ_ɪ_v_ˈɒ_l_v_ə_n_s_i] (IPA phonetic alphabet).
Revolvency is a term that refers to the ability of an entity or an individual to meet their financial obligations and settle debts promptly. It is commonly used in the field of finance and accounting to assess the financial health and stability of a company or a person.
Revolvency represents an essential aspect of financial viability, determining whether an entity has sufficient assets and financial resources to cover its liabilities and obligations. It is the opposite of insolvency, which signifies an inability to meet financial obligations.
The evaluation of revolvency typically involves a comprehensive analysis of an entity's balance sheet, income statement, and cash flow statements. This examination helps determine if the entity's assets, including cash, investments, property, and inventory, are sufficient to cover its debts, including loans, liabilities, and accounts payable.
The revolvency assessment is crucial to various stakeholders, including lenders, investors, and suppliers, as it helps determine the risk associated with extending credit or conducting business with the entity. A positive revolvency status indicates that the entity can honor its financial commitments, inspiring confidence among creditors and investors.
Revolvency is a dynamic concept that can change over time as a company's financial position and performance fluctuate. It is essential for individuals and businesses to monitor their revolvency regularly, ensuring they maintain a healthy financial standing and avoid potential insolvency issues.
Act, state, or principle of revolving.
Etymological and pronouncing dictionary of the English language. By Stormonth, James, Phelp, P. H. Published 1874.
